Home Depot sues Visa, Mastercard

Home Depot (NYSE:HD) has filed a lawsuit against Visa and MasterCard claiming that their security measures are insufficient to combat fraud.

Last month, Walmart filed a similar suit.

The home improvement retailer alleges that Visa and MasterCard are conspiring to prevent more secure technology from being adopted, according to the AP.

The credit card companies and retailers have long been at odds over a variety of practices, including processing fees and now the security of new EMV-enabled cards.

Visa and MasterCard have contended that the cards are safe and extol the virtues of the chip component in a card. But it's the requirement of signature verification rather than a PIN that is the crux of the issue.

The use of a PIN at checkout is considered more secure and will go further to prevent data theft than using a signature. The transition to this technology was made in order to improve security following a series of high-profile data breaches, including one at Home Depot in 2014 that compromised the information of 56 million debit and credit cards as well as the email addresses of 53 million Home Depot customers.

For more:
- see this AP story

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