Saturday October 03, 2015

Goodbye MagStripe, Hello Chip Cards

The deadline for retailers to upgrade to chip-card readers has passed, marking the beginning of the end of magnetic stripe. Have you guys gotten your chip cards yet? I just want to know why that "beep" you hear from the new card readers always comes out sounding like an error.

A safer alternative are chip cards, which communicate with the card readers to create unique data every time they are used. Even if a hacker managed to somehow grab that data and create a counterfeit card, it would be useless for future transactions. And they can be used in combination with a PIN, instead of just a signature, making it harder for even thieves who steal physical cards to use them.