Originally Posted by hillstones
Yes, the difference is that those devices are fixed
to the point-of-sale counter and not portable for some employee to take the iPod Touch home and download all the credit card data into his computer. Or, for a customer to steal the handheld device and do the same thing.
I guess you have never heard of servers at restaurants using a portable card reader to steal your credit card information when you go out to eat? It happens more often than you think.
Your initial post made it sound like this is now a problem since these new devices are being used. If you dont want to use any portable device when using your card, then you have that right, but youre still not free from thievery. There is ATM malware and false fronts on ATMs to still card numbers and PINs. There is the internet at large and servers with personal information on them. I would guess that these devices do not retain your personal info.
Trying to get any info that may be stored in RAM is not something that can be done easily. Id also guess that with all these handheld devices, they can be deactivated quickly. This may even have GPS chip in it that can be tracked with Find My iPhone in case it is lost or stolen, something the other devices cant do.
Then you have CC companies refunding your money right aware and insuring your card. I dont feel threatened all by the use of these devices and Im quite paranoid about identity theft. My biggest concern with these devices is not the device itself, but the wireless transmission that can be picked up by anyone, even outside the store, or something calmly shopping around while a device in their pocket is capturing all the data. If they can hack the encryption then they could collect for days, weeks or months and before using the data. Tracking that back to an Apple Store and then to a group or rotating shoppers working the scam would be very difficult.