CREDIT CARD SIGNATURES ARE ABOUT TO DISAPPEAR

For nearly a decade, Doug Taylor, a sales manager who travels often for work, has signed credit card receipts with a doodle of a dog wagging its tail.

No cashier has ever rejected his “signature” as invalid.

“It gets a laugh, most of the time,” said Taylor, 44, who lives in Mobile, Alabama. “Or they just glance at it and don’t really notice.”

Credit card networks are ready to concede what has been obvious to shoppers and merchants for years: Signatures are not a useful way to prove someone’s identity. Later this month, four of the largest networks—American Express, Discover, Mastercard and Visa—will stop requiring them to complete card transactions.

Card signatures won’t vanish overnight. The change is optional, leaving retailers to decide whether they want to stop collecting signatures.

Target plans to eliminate them this month. Walmart considers signatures “worthless” and has stopped recording them on most transactions, according to Randy Hargrove, a company spokesman. It will soon get rid of them completely.

Mastercard said it has been wanting to make the change for years, but held off until cards embedded with computer chips became common.

Card companies, which cover the costs of fraudulent credit card spending, starting adding the microchips more than a decade ago to reduce fraud-related losses. The chips create unique codes for each transaction, making the cards much harder to copy. The chips have been popular in Europe and Asia but only took off in the United States three years ago, when the card networks began punishing merchants that still relied on the old card-swipe technology. At that point, signatures became largely irrelevant in resolving fraud claims.

“The signature has really outrun its useful life,” said Linda Kirkpatrick, Mastercard’s head of business development in the United States.