[dsaber]

Debit cards can't be used without a PIN number, right? Target indicates that there is no evidence PIN numbers were compromised, so even if the cards got stolen, they're not that useful without brute-forcing the PIN. As such, I would think credit cards are more valuable to thieves.

[Crito]

You don't need to really brute force the pins.

What you do is you a separate list of known pins and work out the most likely pin is. Then you assume that all of your new Debit cards have that pin. Most won't have that pin, but for many of them you'll now have a working pin. For those you did not ever enter a wrong pin, so any sort of brute-force attempt detection software will never have any reason to suspect a thing.

[bilalq]

You can use a debit card as a credit card in most cases though. If you hit cancel on the PIN prompt, it gives you the option to sign and charge as credit.

[dsaber]

True, however my understanding is that, by contract, debit cards via Visa/Mastercard have the same protections as credit cards. So consumers can submit claims against fraudulent transactions the same way they would via a credit card.

[pyre]

The difference is that since they are backed by your bank account (rather than a running balance that you owe the credit card company or bank), the money comes directly out of your bank account. Depending on your bank's policies, even an immediate refund (with no fraud involved) might take a couple of weeks to credit back to your account. So, sure you might be made whole again in the end, but you are still out the cash in the meantime.

That may or may not matter to you depending on your financial situation, but it's probably much better to be in a position where you are debating/challenging what you owe rather than what someone else owes you.

Note: I know that the mechanics are slightly different when you "run it as a credit card" rather than a debit card, but you may be in the same boat if the money has already left your bank account (unless Visa or MasterCard lean on the bank to make things go faster in such situations).

[code_duck]

Rather than losing credit against your credit limit, however, while awaiting resolution by your bank one would be out actual cash. Credit card companies act like actual cash is more valuable than credit - lower cash withdrawal limits, higher interest - and I'd agree.