With the new EMV chip technology becoming mandatory in all credit cards, the question on everyone’s mind is: will EMV chips prevent identity theft?
While it’s difficult to say if this new technology will prevent identity theft or not, let’s take a good look at how the technology works and why this new EMV overhaul is happening. Only then will we find the answer to our question, will EMV chips prevent identity theft?
MasterCard and Visa decided to switch to the Chip and Pin system for security reasons. Still, some people asking will EMV chips prevent identity theft are terrified that the new Chip and Pin technology will only compromises the safety and security of our cards. For the 70% of Americans who have been victims of ID theft, this is good news.
How EMV Works
But will EMV chips prevent identity theft and how does this new chip and pin technology work? We all know that credit cards usually have magnetic strips on them. By swiping the cards, it can be easy to make a duplicate, fraudulent card and steal someone’s identity. Chip and Pin technology currently being integrated into “smartcards” offer another layer of security. They cannot be scanned and duplicated in the way that magnetic strips can. All of the credit card data is stored inside the chip, while the 4-digit, debit-style PIN is simply an added form of protection.
This same Chip and Pin technology has been in place all over Europe for over a decade now, and identity theft has dropped dramatically because of it. Those overseas already know the answer to the question, will EMV chips prevent identity theft.
Will EMV chips prevent identity theft?
But can identity theft every really be stopped? Is the EMV chip and pin technology a sure-fire method to wipe out identity theft as we know it? Will EMV chips prevent identity theft? Prevent, yes. Stop completely, never.