FRESH fears emerged today over the security of chip and Pin cards. Experts claim to have copied them for the first time, revealing a 'fundamental flaw' in the system.
On ITV1
The London Programme will report on how an industry insider copied a chip and Pin card and took cash from a hole-in-the-wall machine.
The card was copied using easily available software. Then an electronic switch inside, which tells the ATM it is a chip and Pin model, was turned off. The Association for Payment Clearing Services (Apacs), which represents the banking payments system, today said it was aware of the flaw.
'We are in a transition period with chip and Pin, and this problem will not exist once that is complete,' said a spokeswoman.
Banks and building societies are in the process of updating the ATM system to recognise chip and Pin cards. Currently, 90% of machines have the ability to dispense cash only to cards with the new technology, but banks are reluctant to implement the system fully until the old-style magnetic cards have been phased out.
The Apacs spokeswoman added: 'It is now only a matter of time before chip and Pin is fully in place and its security benefits fully realised.'
Police also warned that as people must now key in their Pins more often, they expect a huge rise in 'shoulder surfing' - stealing a Pin by watching someone key it into an ATM or store terminal.
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