Las Vegas restaurant uses new technology to avoid identity theft

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October 5th, 2009 - Posted by Caitlin

Do you become slightly tense when a waiter whisks your credit card off to some unseen corner of a restaurant? Knowing what we do about identity theft, it's hard to feel entirely comfortable letting a credit card out of your sight. With that in mind, a Las Vegas restaurant has introduced hand held devices that allow customers to conduct credit card transactions right there at the table. At Ricardo's, your credit card remains in your possession at all times.

Bob Ansara, president of Ricardo's, says, "Everybody has a fraud or identity theft story to tell. So our guests love this system because it provides a greater comfort level when they can see the whole transaction at their table." The credit card reading device resembles those mounted at supermarket checkout stands, and includes an easy tip authorization button. It works through a wireless Bluetooth communications link between the device and a computer system. The credit card data is encrypted to prevent hackers from intercepting it.

This technology was developed by Toronto-based Ingenico Canada Ltd., the market leader in payment terminal technology. According to vice president of business development Terry McLoughlin, 70% of all instances of credit card skimming occur during restaurant transactions. McLoughlin argued that this system greatly reduces the possibility of skimming.

It is encouraging to see businesses demonstrating this level of concern for the security of customer credit card data. Hopefully, Ingenico's credit card readers are adequately encrypted, and will have the desired effect of reducing instances of skimming. If the system works as advertised, it will likely be adopted by other restaurants. In the meantime, consider an identity theft protection service to ease your mind whenever you entrust a stranger with your credit card.