First of all, authentication is in the realm of security not UI/UX. But permit me to digress from the thread a little bit and talk about authentication. Would you want two-factor authentication or one-time pins or to be implemented on ATMs? How convenient would that be? Considering the fact that ATMs are public facilities which should be used a fast as possible so that others queuing behind the current user can access their cash or carry out transactions too. Do you imagine scenarios where the OTPs are delayed? Would you have to wait for minutes to get the OTP or cancel the transaction because those behind you are screaming?
Granted, we are advised not to share our ATM card pins, but you and I know that many people do give their friends, family members, or colleagues their ATM cards to help them with withdrawals. Parents even obtain credit cards for their children especially those abroad. If we have to authenticate that the person using the card is the actual owner of the card, how convenient would that be?
I think the card issuers know that in real-life applications, you have to balance user convenience and security. That’s why they have those terms and conditions to protect themselves when you mess up or when you are forced to divulge your card details.