[Hidden-tech] Cumberland Farms Smart Pay...

[James Triplett]

On (19/05/13 17:29), David F. Farkas wrote:
> Date: Sun, 19 May 2013 17:29:12 -0400
> From: "David F. Farkas" <david at farkas.com>
> To: hidden-discuss <Hidden-discuss at lists.hidden-tech.net>
> Subject: [Hidden-tech] Cumberland Farms Smart Pay...
> 
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>    ** If you did, we all thank you.
> 
> 

> *Hey Mavens...*
> *
> *
> *Cumbies has a gas discount program. By letting them debit a bank account
> they save the credit card processing fees and give members a 10-cent per
> gallon discount. Sounds great, right?*
> *
> *
> *How some ever...*
> *
> *
> *You need to give them your Drivers License Number and last four digits of
> SS number with the Routing and Account number for the bank account that
> they will debit to. Basically, what you would show across the counter at a
> store to cash a check.*
> *

Personally, I feel you should resist these ACH payment systems.  It's even
more insecure than using a Credit Card- since they have stored all the info
needed for a major financial breach or identity theft.  This makes them
a serious target for the various hackers out there...
(for example, TJMAXX, a "big secure financial institution" lost their complete customer list with credit cards a couple years ago).

The annoying thing to me is that Cumbie's started out using Paypal- a much
more secure system.  But now, they want you to trade all your information
for that cents-per-gallon discount.

I like paying at Cumbie's with my phone, but I highly recommend
using the Paypal option instead.


Digression (maybe even a rant ;-)

When you use an ACH system or "electronic check", you are participating in a 
system setup by the banks for their own convenience.  There are absolutely no
checks-and-balances.  There is no signature check, there is no PIN check, nothing.  If your bank receives an ACH debit request from another "big financial
institution" they pay it.  That's it.
If the transaction is wrong, AND you catch it, they will "investigate" and 
decide if and when you should get your money back.

OTOH, when you use Paypal, you share nothing. YOU initiate a conversation with
Paypal and tell them to send money to the payee.
Tomorrow, if that payee wants some more money- they have to
come back to you*.  It is a system in which the protections are
built-in to the system, not dependent on the integrity of a
variety of middlemen.

With a credit card or ACH system- you give them all they need to take
money from your account, whenever they feel like it.  Supposedly, they
won't do that unless you ask them to- but there is nothing stopping them.

*caveat: Paypal now has a "subscription system" that allows people to hit
you repeatedly.  But at least when you want to you can turn it off.

cheers,
James