Would consumers pay $13 a year for a safer debit card?
Banks reap certain benefits from the safer cards, even though the industry is not on the hook when compromised cards are used to make online purchases. For example, banks absorb the cost of reissuing cards when fraud occurs. In addition, some consumers may be less likely to use a particular card after it has been breached.
“While these cards have clear benefits to the bank,” Zilvinas Bareisis, a senior analyst atCelent, said in an email, “those have to be weighed against their usually relatively high costs.”