re: Purchases with credit card...Some places “swipe it”, others “use the chip”.

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If you don't have a machine that can read the chip (IE the user SWIPES the card) then in the case of that card being used fraudulently , YOU are responsible, if however you have a chip reader then your credit card processor is responsible.

Now big companies like Wal Mart or whatever, they have other deals with credit card companies so that doesn't apply to them, but the little guys don't and so are only covered by the law, which says that if you have a chip reader and a card is used fraudulently and the card holder disputes the charge, you aren't responsible for the charge, your processor is, but if you have a swipe machine, you are responsible.

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This is correct, or at least how it's been explained to me. I have a client that owns a credit card processing company and this is basically how he explained it.