Buzz
After receiving a quirky, vintage-style magnet as a gift, I placed it in my wallet and began to wonder: Are magnets truly harmful to credit cards? Many of us have heard whispers about magnets disrupting credit card functionality. Let’s explore the truth behind these claims and debunk the myths surrounding magnets and credit cards.
The magnetic stripe found on older credit cards
Older credit cards come equipped with a magnetic stripe on the reverse side, which holds crucial details like your card number, expiry date, and security code. This stripe is vulnerable to demagnetization, which can happen if exposed to strong magnetic fields or physical wear and tear.
If a magnetic strip gets demagnetized, the information it holds may become damaged or inaccessible. As a result, payment terminals or ATMs might fail to process your card, leading to transaction rejections or other complications.
(Side note: This is the reason you’ve been advised not to place your hotel key card near your phone; your phone emits magnetic fields that can render key cards useless.)
Although everyday exposure to weak magnetic fields is unlikely to harm your credit card significantly, it’s still prudent to be cautious. Powerful magnets, like those in speakers, MRI devices, or heavy-duty machinery, can genuinely compromise your card’s magnetic strip.
Physical mishandling or scratches on the magnetic strip can also lead to demagnetization, as such damage can interfere with the magnetic particles responsible for storing your card’s data.
The chip technology in your card
To tackle the weaknesses of magnetic strips, the credit card industry has shifted to EMV chip technology. EMV (an acronym for Europay, Mastercard, and Visa) cards include a tiny, integrated microchip that creates a distinct code for every transaction, offering improved security and removing the threat of demagnetization.
These chips, unlike magnetic strips, are immune to magnetic fields and physical harm, guaranteeing that your card’s information stays secure and undamaged.
Although magnetic strips are still included on many credit cards to work with older payment systems, the EMV chip has emerged as the main way to process transactions, greatly lessening the likelihood of magnets affecting your card’s performance.
Safeguarding your credit cards
To reduce the chances of demagnetization and extend the life of your credit cards, keep them away from strong magnetic sources and handle them gently. Steer clear of placing them near speakers, magnets, or other devices that produce strong magnetic fields, and take care to avoid damaging the magnetic strip.
With EMV chip technology now dominating the industry, worries about magnets interfering with credit cards will gradually fade away. Nonetheless, it’s still smart to stay cautious and adhere to best practices to protect your financial data and guarantee hassle-free transactions.
