When we issue new ATM or Debit Cards we require a signed application. Should we require another, new, signed application when we issue another card with a differend card number to the same cardholder. Example, customer calls in to HotCard their initial Debit Card and wants to receive another Debit Card, should we require them to come in and sign a new application in order to prove that the new card was issued and mailed per the customer's request? If we do not require a signature for a new card with a different number, could the Bank be held liable for misuse if the customer disputed transactions processed using a card that the Bank cannot prove was ordered per the customer's request?

I don't believe most banks require an application. We didn't. Regardless, it depends on what you do with the application. If it contains critical disclosures, they must still be given. The trick though, is to give a card that is not active. If you mail it to a customer they then have to call or otherwise contact you and answer certain questions to prove they are in fact the customer and they are calling because they received the new card. Then you activate it. They then, have the liabilities imposed under your agreement with them.