Chip Cards

Chip Cards — also commonly referred to as EMV (Europay, MasterCard, and Visa) cards — are credit or debit cards that come equipped with a small, embedded microchip. This microchip significantly enhances the card’s security.

Unlike traditional magnetic stripe cards (which hold static data that can be easily copied or cloned) chip cards generate a unique, one-time code each time the card is inserted into an EMV-enabled terminal. This process is known as dynamic authentication.

Chip cards drastically reduce the chances of fraud. Even if the card’s data is intercepted during a transaction, the unique code cannot be reused for future transactions. Therefore, duplicating a chip card is virtually impossible, which is not the case with magnetic stripe cards.

Beyond the security features, these cards also support various cardholder verification methods, including PIN, signature, or no verification for low-value transactions. This offers increased flexibility to issuers and cardholders.