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David Cresswell of the FOS said: "If fraudsters had discovered a means to beat chip and pin, they would be sure to use it on a wide scale.
This would come to the attention of the card issuers, which would realise that customers were not to blame, and refund them accordingly." The vast majority of the complaints the FOS received about disputed transactions turned on the individual circumstances of the cardholder, such as family or colleagues stealing cards and guessing pins, rather than sophisticated hi-tech fraud, he added.
They say the flaw casts doubt on the integrity of the entire system.
The "man in the middle" technique involves having a separate card reader in a back pack.
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Scientists at Cambridge University claim to have found a way to trick the chip and pin system into accepting a stolen credit or debit card without needing the correct pin.
and perhaps to the other person's disadvantage or loss.
The person whose identity has been assumed may suffer adverse consequences if they are held responsible for the perpetrator's actions.
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