What is Activation Labeling?
Card Activation Labels are anti-mail fraud devices used primarily in certain regions of North America. Their purpose is to reduce the chance that plastic cards are stolen from the mail system and used before the intended receiver even knows it is missing. Labels are part of an anti fraud system which requires the intended receiver to call a special number and provide information which only they would know to activate the card. Labels are applied on the front of a financial or retail card above the OCR line to remind the owner to call the special number. The labels are made to peel off easily after the card has been activated. Research has shown that this activation system dramatically reduces the amount of card theft. This system is only used in areas with high theft due to the added expense. Since the labels instruct a person to call a special number, the labels for each card type are custom made. They are typically applied to a web (or backing material) and wound on 3-inch cores in o