The most familiar magnetic stripe card is the standard credit card.
The sensitive nature of transaction technology demands the use of secure, reliable methods of data exchange. One of the most common types of transaction technology available comes in the form of plastic magnetic stripe cards.
Definition
A magnetic stripe card is a type of transaction card with a black or dark brown stripe on the back. The stripe, made of magnetic particles in a resin, contains data that must be read electronically by special magnetic stripe readers.
How It Works
The magnetic stripe divides the information into several coded tracks. A stripe encoder assigns and writes the data into these tracks using a programmed algorithm. A stripe reader later recovers the information by analyzing the electronic signals. Different particle densities within the stripe determine the signal amplitude of the stripe, and the signal amplitude determines the sort of electronic reader required to obtain data from the card.
Examples
The most common magnetic stripe cards are credit cards, debit cards, driver's licenses, membership cards, customer loyalty cards and employee badges. Magnetic stripe technology also appears on items like airplane tickets, railway tickets and telephone cards.
