Contactless cards and chip cards are two different variations of payment cards with their characteristics and benefits on offer. Every financial institution is offering these cards nowadays for users to upgrade to them.
However, before upgrading users should know about what is a contactless card and what is a chip card. Contactless cards These cards work on contactless payment technologies like RFID and NFC. Here, the user has to bring his/her credit card near (2-3 inches) a POS terminal equipped with this technology and with a single tap they can make the payment. Users can distinguish this card by looking at the Wi-Fi symbol on it. Chip-enabled cards Chip cards are equipped with a microchip that contains the user data. These cards also have the traditional magnetic strip in them. These cards behave like other usual payment cards where users have to swipe them or insert them in POS terminals to make transactions. These cards, also known as EMV cards, here EMV stands for Europay, MasterCard and Visa. They have jointly developed this technology to improve the security of payment cards. These two cards share some common difference between them; they are –
It is advisable that individuals should compare both of these cards on their merits and make a decision according to their convenience.
0 Comments
Leave a Reply. |
AuthorAman Khanna is an experienced financial advisor who is well known for his ability to foretell the market trends as well as for his financial astuteness. He has an MBA in finance from Toronto University as well as years of experience delivering seminars on sound financial practices and debt management. |