Magnetic stripe card

Magnetic stripe card refers to a type of card capable of storing data by modifying the magnetism of tiny iron-based magnetic particles on a band of magnetic material on the card. These cards are commonly used in credit cards, debit cards, identity cards, and transportation tickets. They can also include loyalty cards and access control cards. The magnetic stripe, sometimes called a magstripe, is read by swiping past a magnetic reading head. Magnetic stripe cards are a form of data storage and are a component of the electronic data interchange system.

History

The invention of the magnetic stripe card is attributed to Forrest Parry, an IBM Engineer, in the late 1960s. Parry's innovation was to attach a piece of magnetic tape, from a reel-to-reel tape recorder, to a plastic card base. This development paved the way for the cards' widespread use in banking, with the first ATMs and point of sale terminals adopting the technology in the early 1970s.

Technology

A magnetic stripe card stores data by altering the magnetism of the iron-based magnetic particles on a strip of magnetic material. The stripe is typically made of plastic, usually PVC, but can be a more durable material in cards designed for more prolonged use. The magnetic stripe is divided into three tracks, each with a specific data capacity and usage. Track 1 has a higher capacity and can include the cardholder's name in addition to the account number and other encoded information. Tracks 2 and 3 are primarily used for the account number and the card's expiration date, among other security details.

Usage

Magnetic stripe cards are widely used across various sectors. In banking, they facilitate transactions through ATMs and point-of-sale terminals. In transportation, they are used as tickets for metro, bus, and train systems. In security, magnetic cards serve as access control for buildings and restricted areas. Additionally, they are used in hospitality for hotel room access and in retail for loyalty card programs.

Security

While magnetic stripe cards have been prevalent, their security has been a concern. The data on the stripe can be easily read and copied with inexpensive equipment, making them susceptible to skimming and cloning. This vulnerability has led to the adoption of more secure technologies, such as chip cards (EMV) and Near Field Communication (NFC) for contactless payments.

Future

The future of magnetic stripe cards appears to be in decline due to the rise of more secure and convenient technologies. Chip cards and NFC payments offer enhanced security features and the convenience of contactless transactions, leading to a gradual phase-out of magnetic stripe technology in many applications.

See Also

• Smart card
• RFID
• Biometric passport
• Payment system