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EMV ( chip technology has become quite popular, with several cards using this magnetic chip. EMV chips are small, square computer chips. Since most businesses require their customers to pay with an EMV chip instead of traditional swiping cards, EMV chips have become a global authentication standard. This technology secures data storage, making transactions safe from cyber hackers. Carry on reading for a detailed explanation of the EMV chip card, and how it works.
What Does EMV Stand For?
Europay, MasterCard and Visa are what EMV stands for; this technology is secure payment software, mostly used as a smart chip credit card. It's used worldwide for all payments and can work in contact, contactless and mobile forms.
What is An EMV Chip Card?
The EMV chip offers a modernised and safe method for customers and retailers to exchange confidential credit card information. And with EMV chip safety standards, every transaction details are secure.
EMV chip full form is Europay, MasterCard, and Visa: these three major companies are conjoined to create this standard technology.
One major aim of EMV technology is to prevent counterfeit fraud. The EMV cards are only readable with special readers, which makes them most secure and invulnerable to cyber hackers. In the past, a cardholder's information could be accessed, stolen and reprinted on a different card. This tendency has faced major declines since the adoption of EMV chip technology. In 2015, Visa reported a 76% drop in counterfeit fraud among businesses that changed to EMV credit card readers.
How Does An EMV Credit Card Works?
The magnet strip-based credit card chip protects the cardholder's information from hackers by generating a one time password. This is how EMV cards work: each time an EMV credit card is inserted into an EMV card reader, it generates a one-time-use code. This code helps you process the payment process.
Each time you make a purchase or transaction using the EMV card, the business or the merchant will never receive your card's number. So it is hard for hackers to steal your information and counterfeit the card.
How Does An EMV Card Reader Work?
EMV credit card technology has the same goal as magnetic stripe cards. First, you need to swipe the card through a card reader. The card reader will then process the information on the strip, accessing the necessary information on the account, thus authorising the transaction. To use an EMV card;
The EMV transaction usually takes time, but it is the most secure and keeps fraudsters from accessing your personal information.
Benefits Of EMV Credit Card
While not all merchants have shifted to EMV credit card chip technology, the availability of this technology is certainly on the up due to the various benefits it has for both cardholders and merchants. Some of which include:
What If A Merchant Doesn't Accept EMV Credit Cards?
Even as EMV chip technology continues to grow, not all merchants have installed new credit card readers. But if you purchase from a merchant who does not support EMV credit cards, you will have to scan the card to complete the transaction. Alternatively, you can use a digital wallet. And there is still an option to swipe your EMV credit card.
Also Read: Know the Difference: Credit Freeze Vs. Credit Lock
FAQs About EMV Credit Card
Q1. What is the full form of EMV?
A. EMV stands for Europay, MasterCard, and Visa.
Q2. Can you swipe EMV chip credit cards?
A. Yes, you can swipe EMV chip credit cards.
Q3. Can someone copy my EMV card information?
A.No, EMV chip technology makes it almost impossible to duplicate the cardholder's information.
Q4. What can I do if the merchant doesn't support EMV chips?
A. In this case, you need to scan the EMV credit card to complete the transaction.
Q5. Why is the EMV credit card more secure?
A.The EMV chip technology provides sophisticated credit card technology with a better authentication process than the magnetic-stripe ones.
Q6. How do EMV cards work?
A. You insert the EMV card into an EMV card reader. The reader will lock the card in place and access your information. The card reader and the card will then agree on a unique one-time-use passcode for the transaction. This makes the process hard for fraudsters to infiltrate and counterfeit your credit card.
EMV credit cards are growing in popularity worldwide. These cards help make everyday transactions simple and secure them from fraudsters. The best news is that these cards are available for anyone, and you can use them for anything, from travel, shopping, and dining to lifestyle or travel. Unfortunately, while most businesses continue to process EMV cards for their sales, many continue to operate without new EMV credit card readers. Therefore, look for merchants who accept EMV cards and always monitor your transaction history. This will help you maximise your credit card account security.
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