CNN CNN Newsroom December 19, 2013 14:04:00
Swipe your card on a smartphone. this is just an iphone. >> it will work with an ipad. you've gone into a big box retailer of some sort, made a purchase, employee is here to help you now, and you hand them your card, you run the card through. >> reporter: and that's where shoppers are at risk. >> once the credit card transactions are run through we're able to steal the credit card transactions before they're encrypted, if they're not encrypting in the hardware. >> the problem isn't in the card swiper attached to the phone. it's in the software retailers use to process your payments. in some ca...