Signing for credit card purchases is on the way out
Mastercard, Discover and American Express will soon speed up checkout lines by no longer requiring a signature for your credit card purchases.
Beginning in April 2018, three big credit card companies will eliminate the need to sign for purchases in the United States and beyond. The move comes as payment processes grow faster, convenient and more secure.
Major credit card companies have already implemented safer ways to verify cardholders’ identities and prevent fraud; including chips, tokenization, multi-factor authentication, biometrics, contactless payment options and advanced machine learning algorithms.
Around 80% of Mastercard purchases already don’t require a signature. Come April, Mastercard will eliminate the signature requirement for all purchases in the U.S. and Canada. Discover will also erase its signature mandate in the U.S., Canada, Mexico and the Caribbean. American Express is making the move globally.
When the new policy takes effect, merchants will still have the option to require signatures, but many have supported the card companies in their efforts to remove this practice and are likely to follow suit.
Erasing the need to sign for your purchases isn’t the only thing credit card processors are doing to speed up transactions and make the checkout process more streamlined. Mastercard also recently announced its new Mastercard Send feature for convenient money transfers, and it’s becoming increasingly popular to link a credit card to your smartphone to pay with a mobile wallet.
Mobile, cashless payments are meant to make life easier. So why are consumers so reluctant to modify their spending methods? A new study reveals that despite more Americans utilizing smartphones for some aspects of their shopping experience, financial security plays a significant role in dictating the payments landscape.
Technology is constantly enhancing the way we manage our finances. The leading US consumer watchdog agency stresses banks need to improve digital services and accessibility in order to better serve customers.
Whichever technology you use to pay for purchases or send money, using a credit card can provide an ongoing stream of rewards. You can earn airline miles, cash back, rewards points and other perks while buying the things you need and want. Learn more about the many different kinds of rewards available and how to get the best one for your lifestyle using our guide to rewards credit cards.