How do EMV cards really work? Are they safe?
Credit and debit cards now have EMV chip technology, the global standard for card payments that significantly reduce fraud. Many card users are familiar with this technology, but do we really know how it works?
EMV chip cards were designed to prevent counterfeit credit cards fraud, embedded in every EMV card is a computer chip that creates a one-time code for each transaction. The magnetic stripe card store all key data, such as the credit card number, the cardholder’s name and the CVV code, and one the information is written it never changes.
MasterCard reported an 81% reduction in fraud losses between the second quarter of 2015 and the second quarter of 2018 resulting from EMV chip cards. This is a significant drop in the threat of counterfeit card fraud when a consumer shops in person at a chip-enabled place.
Although credit card fraud still happens, EMV is definitely a way to give an extra layer of security and peace of mind.
Source: U.S News