I don’t understand something about the new system. I have a chip enabled card now, and the other day at Target, it required me to insert it into the chip reader. Then, it approved the transaction without me entering a PIN number. It was only $11, and I’m used to a lot of places not requiring a SIGNATURE if a transaction is below $25, but it seems that with chip/PIN technology, they should require the PIN code any time the card is used. Instead, they seem to be accepting that your card could be used fraudulently $25 at at time, when they have the technology in place to prevent it completely.
I’m guessing the store is willing to swallow the eventual costs for any fraudulent transaction under $25, no matter if the card has a chip or magenetic strip.