Credit cards are easily duplicated and merchants may be worried about the validity of the cards being presented to them. The technology being presented by Magensa.net allows merchants to check cards on the fly.
The only thing that consumers may be concerned about is the double swipe of the card. If I see my card being swiped in the reader twice I am going to be asking how come.
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Double-swipe is only for the demo.My company uses the magensa.net service which means we can decline fake cards immediately. But the author should know that it does not require a double swipe of any kind. The authentication is done with the initial wipe, the same one that is used to make the purchase.
It’s simpler than that. it’s done with the same swipe, and it’s checks to ensure any counterfeit card won’t be accepted.
Not sure that a double swipe is the only threat. If you give your card to a waiter and they disappear, you’re not going to see the second swipe. And skimmers are small, cheap, and easily gotten on eBay.
Second threat is the fake skimmer. Thieves put false fronts on isolated ATMs or POS terminals. They look just like the real one, complete with a swiper. You run your card, nothing happens, you run your card again, then walk away in disgust. I’ve done it :)
Automated gas pumps are places that thieves stick these devices too. Sometimes it’s really hard to tell that it’s not the real thing.
Also, did you know that those little ATMs that use modems in convenience stores can be opened up (not the money part) by the stores? 99.9% of merchants are honest but if you happen to use an ATM at that .1%…
There’s lots of ways to get the number other than a double swipe!