A magnetic card (AKA: magnetic-stripe card) is a data-storing card that operates by using magnetic technology. It is commonly used in credit and ID cards. Nowadays in the banking and payment world, this technology is being surpassed by chip-and-pin technology, also known as EMV technology.

EMV stands for Europay Master Card and Visa which are the three firms that initially regulated credit card standards. EMV cards (also known as smart cards) are cards that store data on a chip rather than on a magnetic stripe. Although most credit cards have backward compatibility (they can store data on both magnetic stripes and chips), EMV cards are more secure than magnetic cards because of the intricate design of the chip incorporated and the higher measures of encryption used to prevent duplication.

The magnetic stripe is made up of tiny magnetic particles that can be encoded to store data. The magnetic stripe is divided into three separate tracks. The third track is rarely ever used and may be absent on some cards. Magnetic cards are written using computers and magnetic stripe card-writers and therefore contain data under the form of letters, numbers and symbols. Indeed, a magnetic stripe can store data such as card expiration date, card holder’s first and last name etc.

Triple DES (Data Encryption Standards) is a cryptography technique used in the electronic payments’ industry to avoid theft. 3DES applications encode data by applying an encryption algorithm three times to each data-block for optimal security. The EMV standards were built upon 3DES encryption.

Near Field Communication is a set of communication protocols that allow a pair of electronic devices to exchange data by bringing them physically close to one another (usually 10 cm and less). NFC is being used nowadays by the giants of the smart devices’ industry, primarily in order to facilitate easy and secure payments.

Digital card printing is a one step process that provides high quality and flexibility. Digital printing involves heating a ribbon as it passes under a thermal print head. The ribbon is divided into the three primary printing colors: cyan, magenta and yellow. Plastic cards can either be printed in-house by purchasing a printer or the production can be outsourced. Outsourcing is usually better for large volumes of cards.