Monday, 6 June 2011

Contactless pickpocketing?

There have been concerns over whether contactless technology means fraudsters will be able to steal data from the cards in your pocket. But is this a serious risk?

Experts say not. It is possible to use a card reader to 'sniff' people's data but there are measures in palce which limit what they can do with it after that. New encryption measures are also developing along with the technology itself.

The issue came to light at the end of last year when a man in Tennessee was able to use a card reader and laptop to steal card information from passers-by. He was able to retrieve card numbers, expiry dates and some names. But Jack Jania, secure transactions general manager for North America for digital security provider Gemalto said:
“It’s one thing to obtain the information. It’s another to be able to use it.”
Most contactless cards use a dynamic verification system for transactions in addition to encryption which mean the data retrieved would not be sufficient to allow the thief to start spending.

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