Sam's Club chip-enabled credit card could help protect against fraud

(WXYZ) - A major retailer is taking a big step forward to prevent credit card theft.

The key is a small microchip.

Sam's Club has announced that it will become the first mass retailer to offer a credit card equipped with a microchip that will help fight fraud.

Visa and Mastercard are rallying for a wider adoption of credit cards with microchips as opposed to the ones many consumers use with the magnetic strips on the back.

Sam's Club says the chip-enabled credit cards make the cardmember information more difficult to duplicate.

“MasterCard has taken a strong stance on the need for the U.S. market to make the transition to chip-enabled credit cards for the benefit of cardholders and merchants alike,” said Chris McWilton, president North America, MasterCard in a Sam's Club press release. “This move by Sam’s Club makes them a trailblazer in getting chip cards in the hands of businesses and consumers, and leading the push toward a safer and more secure customer experience. This will no doubt help drive chip-enabled technology forward here in the U.S. as it gains more traction.”

The card will be available for customers starting June 23.

The Associated Press reports that Target also plans to get on board. They will be rolling out a chip based credit card and new payment terminals in September.

Read more about the new Sam's Club card HERE.

 

The Associated Press contributed to this report. 


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