PETALING JAYA: Signature-based debit cards that have not been replaced with the PIN-enabled ones will still work for cash withdrawals at ATMs.
These cardholders, however, should change it to the new ones to enable transactions at point of sale (POS) terminals.
The Association of Banks in Malaysia (ABM) said there were two types of debit cards, the first being the domestic debit brand, typically referred to as an ATM card but could actually be used at POS.
“ATM cards are already PIN-enabled but these cards need to be replaced to upgrade them for MyDebit, which has an enhanced chip technology besides adding a contactless interface.
“The second type is what we refer to as a co-badged debit card which has an international payment scheme brand like Visa or Mastercard,” it said, adding that a co-badged debit card must be replaced to enable it for PIN at POS, and also for the enhanced chip technology and contactless interface.
The introduction of the MyDebit brand, said ABM, was to educate customers on using their debit or ATM cards at POS as an alternative to withdrawing cash from an ATM to shop.
“It is part of Malaysia’s long-term strategy to move from cash to digital payments.
“Customers will find using the PIN to be a more secure, convenient and faster way to pay compared to using a signature,” said ABM.
As of November last year, 95% of the 7.5 million credit cards in the country have been replaced and about 60% of 18 million debit cards have been changed to PIN-enabled ones.