Clearly there is a reason why the banks act as irresponsibly as they do. As you said, they make money when people use their credit cards. Any attempt to improve security, like looking at ID, reminds the customer that there is a security risk - which might lead to them using the card less. Even though that liability limit of $50 is there, most Americans ARE worried about fraud - so nobody is going to do anything to remind them of that risk. The answer IS to educate the consumer, but the banks have a good reason NOT to do it.... maybe they should be teaching kids this stuff in high school.