Jun 17 2009

Credit card authorization process weakness

Category: Information Security,pci dssDISC @ 3:09 pm

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Credit Repair Kit For Dummies (For Dummies (Business & Personal Finance))

Credit card authorization sequence:

1) Creditholder swipes card at merchant. A request is sent to merchants bank
2) Merchants bank “asks” processor to determine the cardholder bank
3) Processing network finds cardholders bank and request approval for purchase
4) Cardholders bank approves purchase and generates a approval code
5) Processor sends an approval code merchants bank
6) Merchants bank sends approval code to merchant
7) Purchase is complete and cardholder receives a receipt

“Every time you swipe your credit card and wait for the transaction to be approved, sensitive data including your name and account number are ferried from store to bank through computer networks, each step a potential opening for hackers.”

Weak security enables credit card hacks

Credit Card Fraud Made Easy

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Tags: Credit card, credit card privacy, credit card secure, credit card security, credit card theft, secured card, visa card

13 Responses to “Credit card authorization process weakness”

  1. » Credit card authorization process weakness | DISC InfoSec blog says:

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  2. card credit fraud says:

    It seems that card credit fraud is bigger then authorities.
    Just my opinion.

  3. Compare Bad Credit Credit Cards | Online Credit Card Service says:

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  4. Frederick says:

    Crazy, that is a lot of steps

  5. Travel Social Networking says:

    Scary. No matter the high security a bank implements, the hackers job is to unveil the “code”. They are experts in this matter. Hmmm, the end result: poor consumers.

  6. freeannualcreditreport says:

    To much things to do. credit card fraud still be a big problem and keep go on.

  7. netspend says:

    Credit card bank must do a high online securities…

  8. alen14254 says:

    I am impressed that a Chase Bank representative bothered to respond. I wonder if that person will get to keep their job.
    merchant services

  9. credit card application says:

    Good that Chase Bank did response with a representative. But the bank should think of ways to make hackers have difficulties on hacking account of others.

  10. Wizard Guard says:

    It should be mandatory that all stores check ID when using credit and before the person swipes the card. Despite the fact the all reputable credit card providers will reimburse for fraudulent charges, they don't do anything if your credit rating is affected.

  11. disc7 says:

    I agree with you that credit card providers will reimburse the fraudulent charges but ultimately this cost is transfered to acquiring bank and rest of the credit card users community.

  12. cash for small business says:

    There are a lot of good resources here. I am sure I will visit this place again soon.I match in with your conclusions and can thirstily look forward to your next updates.

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