New Chip Cards Complicate Debit Transactions

New Chip Cards Complicate Debit Transactions

By Johan Soltani

The credit card industry has launched a new round of technology – cards with embedded chips – aimed at reducing fraud and stolen cards. As is always the case, there are some hiccups with the transition.

Federal regulations launched in conjunction with these chip cards requires the input of a PIN (Personal Identification Number) to go alongside the payment. In the case of the DOB, the equipment used to currently process payments is not yet capable of accepting PIN’s, and therefore completing these transactions.

Debit cards that can be used without a PIN, and all other credit card payments are still acceptable. For credit cards, the DOB will tack on a “convenience fee” of of 2.49%. For more contact the Cash Receipts Unit at (212) 393-2253, or send an email to cashrecepts@buildings.nyc.gov.