If you ever tried to understand all the parts of your credit card, you might have noticed that there is a signature box on the back of it. Nowadays, the trend of signing a credit card has almost ended as most of the major card networks like Visa, Mastercard, etc, do not require a cardholder’s sign, but neither do they advise not to sign it. It is just the choice of cardholders whether they want to sign their credit card or not. Some major card issuers like Mastercard have even stopped offering credit cards with a signature box option as the increasing EMV chip technology is considered enough to ensure the necessary safety measures. A lot of individuals are often confused about whether they should sign the back or their credit card or not. Is this something essential to do or optional? To understand the answers to these questions, keep reading the article:
Why Is There a Signature Box on a Credit Card?
Many individuals believe that the Signature Box on the back of a credit card is made for verification purposes, i.e, if a cardholder wants to make any transaction using a credit card, the merchant or shopkeepers will check his signature and will verify it by cross-checking the name on his or identity card. However, this might be true to some extent, but this is not the sole purpose of the signature box on your credit card. If a credit cardholder has signed his credit card, it means that he accepts all the terms and conditions of his card issuer.
However, the latest updated technology of EMV Chip Credit Cards is overtaking these signature boxes and now it isn’t even checked whether you have signed your credit card or not. Some card issuers don’t even issue credit cards with a signature box. Therefore, it is no more an essential thing to sign at the back of your credit card. If any merchant asks you for your signature, you can just show them your ID that has your name same as that mentioned on the credit card. However, it is an extremely rare case now.
Should You Sign The Back of Your Credit Card?
Now, as the importance of signatures on the back of a credit card has reduced and the box is not even provided with some new cards, the question that arises is if there is a signature box on your credit card, whether you should sign it or not. Though it is totally your choice, there are a few things that need to be kept in mind. Nowadays, most merchants let you make purchases using a credit card without verifying that the card belongs to you. It is because everyone is looking for their own profit and this is why identity theft is increasing day by day. In terms of identity theft, singing your credit card and not signing it both can be a reason behind your identity theft. Let us understand the same in detail as follows:
Case 1: You Have Signed Your Credit Card
Let us assume that you have signed your credit card and unfortunately it somehow goes into the hands of some fraudulent people or they just got to see your signatures. Now, they might try to copy your signature and use them for fraudulent activities against your financial tools. They may apply for loans in your name and somehow they might become successful in withdrawing money from your account. However, that is not really an easy thing for someone to do, but still, you should be fully aware and take every step carefully.
Case 2: When You have not Signed your Credit Card
If you haven’t signed your credit card, any fraudulent people can claim your card to be theirs if they somehow manage to get it. For example, if you have lost your credit card and it goes into the hands of the wrong person, he/she can misuse it and make transactions using your card. However, large transactions and not be made without a PIN, but they can make small contactless transactions, which may affect your financial health badly.
Therefore, signing your credit card or not signing it, both have their own pros and cons. You can do whatever seems right to you, but make sure to ensure all the safety measures. You should keep your credit card information private as much as you can. Nad if you think signing on your credit card doesn’t make any sense, you can simply avoid it as it is not an essential thing to do now.
It doesn’t matter whether you are signing the back of your credit card. What matters is whether you are responsible enough to keep your credit card safe or not. It this modernized era of technology, signing credit cards has become an unnecessary process and you can simply avoid it as no one is gonna check if you have signed your card or not. The only thing which matters is that you keep your card safe and use it wisley.