From December 1, 2013 you will need to remember the debit or credit card PIN for swiping it on retail merchant outlet. This is an additional security feature added for nabbing the fraudsters.
Banks are also informing customers about Pin requirement for swiping the cards in retail merchant outlet. Also some customers having credit cards do not know about PIN as it’s hardly in use to withdraw cash from ATMs from credit card. So banks also sending PIN No. of the credit cards.
However RBI made a lot of efforts for securing debit/credit transaction more secure and it fetches the results too as the frauds in domestic territory are low but card skimming and copying information from magnetic strip is very common now a days.
RBI made it mandatory for having chipped based credit and debit card for any transaction internationally.
The cost is also the matter as chip based cards cost around 34 times than of magnetic strip cards.
The Reserve bank of India also made it mandatory of additional features of bio metric for issuing new cards.
In India only few banks like Citi bank, SBI, ICICI bank and HDFC Bank are issuing chip based cards.