Signatures are to be officially abolished on credit and debit card purchases of more than $100 from 1 August and replaced with PIN codes.
According to Tyro CEO Jost Stollmann consumers will be better protected by needing to enter their PIN for credit and debit card transactions to be approved.
Australians made around five billion card payments during the financial year 2012/2013, with a total value of $434 billion, according to the Reserve Bank’s Payment Systems Board data.
“With Australians spending more than $400 billion a year on credit and debit card transactions, it’s vital that fraud and criminal activity is minimised as much as possible to protect customers, retailers and banks alike.”
According to Stollmann, Australia is moving closer and closer to a cashless society and PIN codes “will protect against fraud in a way that signatures cannot.”
Stollmann said the change is expected to impact Australia’s 14,000 cafes and restaurants, their staff and customers the most, with customers having to leave their seats to pay for bills at the cashier using their four digit PIN code.
“We knew that customers would be impacted by this change and have worked tirelessly on a solution that would ensure that they wouldn’t be unnecessarily inconvenienced. With our Australian first mobile integrated EFTPOS solution we have long been ready for the move to abolish signatures.”
Stollmann said that in 2012 Tyro worked closely with key software providers to develop Australia’s “first and only, all IP based, integrated ‘pay at table’ solution.” “The solution establishes a conversation between the restaurant management software and the payment terminal and allows the consumers to use the device at their table at their own pace to split the bill, pay and tip using their four digit PIN.”
“The PIN requirement puts the customer back in control. It’s virtually impossible for a fraudster to ascertain a PIN, while forging a signature is easy. Our wireless integrated pay at table EFTPOS system is a perfect complement to eliminating credit card signatures.”