What is a chip card?
A Chip card, sometimes referred to as a “smart card”, is a credit or debit card containing an embedded computer chip, which gives the card the ability to store and process data. The Chip card provides enhanced security, because it is very difficult to duplicate and greater convenience, because it allows multiple functions to exist on one card (e.g. stored value, loyalty programs, etc.
A chip card, or “smart card”, is a card product containing a microcomputer embedded right into the plastic. It is like having a personal computer right on your card that is capable of performing a variety of functions, including card authentication, PIN verification, and information storage, all in a highly secure environment. For you, chip will mean entering a PIN at chip-reading terminals for every transaction regardless if you are paying by debit or credit card.
