Why do I have to sign a credit card receipt at a restaurant but not when I buy something online?

Answer 1

There are 2 types of merchant accounts that business use. Retail (swiped), and MOTO (keyed entry or Online).

A retail merchant account has a lower processing rate for the business, mainly because of there being a less chance of fraud because the card holder and the actual card are at the place of purchase. The business is required to obtain a signature for all credit card transactions when setup with a retail merchant account. Again, this is a measure of fraud prevention. Also, a retail business is required, (seldom happens) to compare the receipt signature to the one on the back of the card. Another fraud check.
As a customers you are required to sign transactions at retail businesses as a verification that you agree to the sale. If you dont sign the receipt you are essentially saying that you dont agree to the sale. If you dont sign the receipt and you still take the merchandise, this is essentially stealing since you didn't agree to the sale and you still took the merchandise.

Answer 2

Because it is impossible to sign something on-line? All joking aside, that's a good question! I know most restaurants have it now that if your meal is under $25.00 you don't have to sign anything. Used to you signed so that they could look at your signature and verify it against the signature on the back of the card and, of course, that cannot be done on-line. I know if you order something on-line and send it to a different address than the one on the billing info they do more 'checking' to try to verify it is the correct person using the card.

Answer 3

I do not know the legalities of the subject, but I believe it is so you can add the tip into your total!

Answer 4

I think they do that electronic signature...pay attention to what it says next time you buy something online...cause Wetseal makes me do it