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Magnetic Stripe

Credit cards contain copious amounts of data that needs to be read for a transaction to move forward. Enter the magnetic stripe. Typically black in color, magnetic stripes are attached to both credit and debit cards and allow terminals to make sense of the information that they contain. This process is done by swiping the card through the terminal. Each magnetic stripe has details about the account holder, including name, credit card number, when the card is due to expire and the country code in which the card was issued. It may also have specifics regarding the account holder’s billing address, such as the Zip code. The main problem with magnetic stripes is they’re not invulnerable. Indeed, because they contain financial data that’s highly sensitive, hacked terminals can result in identity theft when the property security measures aren’t implemented.