EMV chip & pin based cards by banks - General Economics & Indian Economy
Q. Consider the following statements:
1. Currently banks uses magnetic stripe based credit / debit cards.
2. September 2015 all new cards issued — debit and credit, domestic and international — by banks shall be EMV chip and pin based card
Which of the above statements is/are correct? - Published on 06 May 15a. Only 1
b. Only 2
c. Both
d. None
ANSWER: Only 1
EMV stands for ‘Euro pay MasterCard Visa.Unlike magnetic stripe transactions, where typically only the card's track 2 data containing the card number and expiry date is processed, every chip card transaction contain dozens of pieces of information to be exchanged between the card, the terminal and the acquiring bank or processors host. This requires the terminal to perform many stages of complex processing, including cryptographic authentication, to successfully complete a transaction.
