http://www.gcnews.com/news/2009/0529/Front_page/004.html

"Using a computer and special program, the subject would then take a credit card which was issued in his own name and change the magnetic stripe to a "dump". When the subject made a purchase and was asked for identification from the cashier, the information on the face of the credit card would match the information on the corresponding ID. However, when swiped the magnetic stripe would contain the information of an identity theft victim who would then be charged for the merchandise."

Had this idiotic store been following the terms of their card acceptance agreement, no ID would have been requested, but they could have caught this fraud by comparing the four numbers on the face of the card with the four numbers that printed on the sales receipt.

http://usa.visa.com/merchants/risk_managem...rd_present.html

"Match the numbers. Check the embossed number on the card against the four digits of the account number displayed on the terminal."

It appears checking ID did the fools at this store a world of good. Not only could they have avoided the entire situation by following the terms of the credit card company and matching the numbers, they would not have had to waste the time of the police department. Many merchants seem to think that checking ID is such a great solution for credit card transactions and that by checking the ID they don't need to do anything else, yet in reality, the biggest dollar amounts of fraud happens by criminals who are aware of this mentality of some merchants that the ID check is the "end all" and they find work arounds. So, checking the ID did no good and still caused the fraud to take place. This store might as well get in compliance with their merchant agreement and stop checking ID entirely. Had they actually followed the acceptance terms, they would have caught the fraud and the ID check provides no help them doing so. This store should be responsible for the entire amount of the loss since they fail to follow the acceptance guidelines by "matching the numbers."

As an alternative to matching the numbers, they could have compared the NAME embossed on the face of the card to the NAME of the customer that shows up on the cashier's side of the screen; I am pretty sure at Sears, the customer's name displays on the cashier's side of the screen after the card is swiped.

Violate merchant agreement by requiring ID and actually promote fraud. A winning combination.

Even "IF" checking ID was an exact science...MY DRIVER'S LICENSE WAS ISSUED ALMOST 20 YEARS AGO (US MAIL RENEWAL)

That means the SIGNATURE is like 20 years old

What is more accurate...a 20 year old signature on a DRIVER'S LICENSE or a signature on the the back of the credit card that is less than 3 years old

That's like asking... "Which is better, a bullet to the right temple, or a bullet to the left temple?".

Either way, a signature is the worst and lest effective method of identification.

I am also reminded of a federal case in Louisiana where the arrests were made PRECISELY because of a clerk that sought ID...

Oh, that just can't be. We all know that the ONLY people who would ever ask for ID are hardcore criminals intending to steal everything you own. They all have complete ID-making equipment behind the counter and they make fake IDs in seconds of every customer they come across. This is the scourge of civilized society as we know it.

/sarcasm off

Obviously it is a major security and identity theft risk, extreme invasion of privacy, and a no-brainer to keep your ID to yourself. No reasonable adult would hand over their ID to some violating cashier on demand. The most important thing is making sure it never happens again, so if any violating merchant should ever pop-up in your community, make sure they are eliminated/brought back into line immediately - 1-800-VISA-911.

CREDIT CARD SIGNATURE IS ALL THE ID NEEDED

When you pay for merchandise with a Visa card, MasterCard, or American Express any store that accepts these cards should accept yours too, no questions asked. It's part of the deal that merchants agree to when they become participating members.

They must check your signature and the card - electronically or by telephone - to be sure it's valid. Once the answer comes up yes, they can go ahead and charge. They can't ask you for any further identification - not a license plate number, Social Security number, proof of address, phone number or photo ID.

Your personal ID isn't needed because Visa, MasterCard, and American Express all guarantee payment on cards that have been properly checked. If the issuer mistakenly authorizes a sale on a bad card, it should make good. MasterCard says that merchants receive instant settlement. The contract MasterCard merchants sign specifically prevents them from asking for personal ID.

Unfortunately, not all merchants play by the rules. Some, apparently, haven't read them.

WHAT YOU CAN DO

MasterCard wants to hear about merchants who break their rules. Send the name and address and an account of what happened to MasterCard WorldWide 2000 Purchase St. Purchase, NY 10577 or call 1-800-300-3069. The merchant's bank will get a stiff letter, ordering it to investigate and bring the offending store into line - or pay a $2,000 fine. You may also report violations online:

http://www.mastercard.com/us/personal/en/c...violations.html

Visa enforces the same rules as MasterCard. "When we hear about a violation, we ask the bank that signed the merchant to get together with the merchant and see that the practice is stopped," Visa representative states. To report a merchant, send a letter to the bank that that issued your Visa card or call 1-800-VISA-911.

American Express also prohibits merchants from asking for IDs. "All a merchant is supposed to do is take an imprint, make sure the signature matches and swipe the card through the terminal, to get authorization."

Gotta' love it when THE HATE GEORGE CLUB MEMBERS pat each other on their backs