To stop ATM card cloning, FNB Namibia has added a microchip to the existing cards.
The chief executive officer, Ian Leyenaar, says, “The Chip and Pin Card replaces the old magstripe cards. The card holds the same data but has a chip, which makes it more secure. Instead of swiping the card and signing the slip, cards will be 'dipped' and customers will be required to enter their pin codes.”
He adds; “When a customer wishes to pay for goods using this system, the card will be placed (dipped) into a “PIN Pad” terminal, which accesses the chip on the card. Once the card has been verified as authentic, the customer will enter a four-digit PIN, which is submitted to the chip on the smart card. If the two match, the chip will signal the terminal that the PIN is correct, otherwise, it will inform it that the PIN is incorrect. Customers will be able to see 'PIN OK' or 'PIN approved' immediately."
FNB Namibia will give the new cards as well as PIN with the card, free of charge. This is applicable to debit as well as credit cards. In the case of credit cards, the PIN is needed if a customer wishes to withdraw funds from the card.
“The point-of-sale machines of all banks have been tested and are compatible with the new Chip and Pin cards of FNB Namibia,” asserts Leynaar.