Chip and PIN is very broken.

The Chip and PIN ATM card readers can be “tricked” into accepting transactions without a valid personal identification number… Man in the middle from reader to card and card to reader. Information Research Group
The flaw we identified affects all UK banks, and others overseas. This illustrates rising systemic risks due to more widespread use of advanced technology in global payment systems – risks, both of fraud and third-party liability, which can affect companies and individuals worldwide.
U.S. Tops List of Countries Victimized by Skimmers ATM Skimmer Gallery