They also provide a means of effecting business transactions in a flexible, secure, standard way with minimal human intervention.Ĭontactless smart cards were first used for electronic ticketing in 1995 in Seoul, South Korea. Card data is transferred via radio waves to the central administration system through card read-write devices, such as point of sales devices, doorway access control readers, ticket readers, ATMs, USB-connected desktop readers, etc.Ĭontactless smart cards can be used for identification, authentication, and data storage.Assets managed by way of a central administration systems, or applications, which receive or interchange information with the card, such as card hotlisting and updates for application data.confidentiality of information in the memory). a secure cryptoprocessor, secure file system, human-readable features) and is capable of providing security services (e.g. Contains a security system with tamper-resistant properties (e.g.Dimensions are normally credit card size.No, magnetic strips will continue to be used on cards so they can be used at terminals in countries that have not yet converted to chip technology, including terminals that are currently not upgraded in the United States.Size comparison of chip compared to a Canadian pennyĪ contactless smart card is characterized as follows: Will magnetic strips be discontinued on credit cards? The United States is one of the last countries to migrate to EMV with 59 percent of US retail locations supporting EMV by the end of 2015. 1.1 billion cards total that will support EMV by the end of 2015. payments infrastructure is now moving to EMV adoption with approximately 70 percent of credit cards and 40 percent of debit cards in the U.S. By replacing the current unencrypted magnetic strip with a chip embedded in the card, smartcard technology adds dynamic data to the transaction process, making it far less vulnerable to fraudsters.ĮMV has been implemented in more than 80 countries around the world, with approximately 1.5 billion EMV cards issued globally and 21.9 million POS terminals accepting EMV cards at the end of 2011. Because every EMV card is essentially a small, secure computer, EMV cards are nearly impossible to counterfeit. The biggest benefit of EMV chip cards lies in its powerful fraud prevention technology inherent in the chip. Unlike a magnetic strip card, it is virtually impossible to create a counterfeit EMV card that can be used to conduct an EMV payment transaction successfully.ĮMV secures the payment transaction with enhanced functionality in card authentication, cardholder verification, and transaction authorization.
Why are EMV credit cards and EMV payment transactions more secure?ĮMV cards store payment information in a secure chip rather than on a magnetic strip, and the personalization of EMV cards is done using issuer-specific keys. The merchant will decide if you need to enter a PIN or you will sign for your purchase as you are accustomed to. This is similar to how a debit card prompts for a PIN at the payment terminal. The EMV ‘chip’ card will be inserted vertically into the payment terminal and you may be prompted to enter a PIN (personal identification number). What is different from my current Credit Card? The chip is encrypted and provides stronger security and protection against fraud.
How Do I Use My Chip Card at Chip-Enabled Terminals?Ĭhip cards - or "smart cards” - have a microchip embedded in the credit card. Use your card with Apple Pay™ where you see this symbol:
At retailers with chip-enabled terminals.Swipe your card and proceed as you normally would. That means, regardless of what type of terminal a merchant has, you’ll be able to use your card anywhere Mastercard ® is accepted.
Your Mastercard ® credit card has chip, contactless, and magnetic stripe technology. Your chip card comes with technology that is already in use around the world, and has been proven to reduce counterfeit fraud.Shop with confidence-at home and around the world-knowing that the chip in your card can help protect you from fraud while opening up the world for you. Chip cards have a microchip embedded in the card that provides increased protection against fraud. We’re pleased to introduce the added security of chip technology to your Mastercard ® credit card. EMV chip technology makes an already secure card even safer.