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Idle Thoughts On Chip and PIN Credit Cards




Last time I stopped by my local pharmacy to purchase a MoneyPak or a PayPal My Cash card, I was only allowed if I used a “debit card.” The funny thing is, I have been there a few times and I’ve seen them hit the screen to force a digital PIN pad to be displayed on the credit card terminal.

A while ago, I called up Chase to ask about where I could find better details of how my purchases were categorized and slipped in the question about using the credit card’s PIN number. The agent mentioned that as soon as the PIN is used it is coded as a cash advance and fees apply immediately. That thought, obviously, died quickly.

With the push of chip and PIN credit cards, the new thought is how would a purchase with a credit card using the PIN distinguish a purchase or a cash advance, say with a MoneyPak purchase? I would be interested to see what happens in the future when it becomes widely used.

5 comments… add one
  • The agent you spoke to is clueless

    Reply
  • Have you had an experience where you used the credit card PIN and not have been charged with a cash advance fee?

    Reply
  • The agent is confusing the PIN you asked about with the cash advance PIN that is set up with each credit card today.

    The retailer will process as a purchase.

    Reply

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