Mastercard has announced it will be phasing out the magnetic stripe on its payment cards in "most markets" from 2024 as reliance on chip-based and contactless payments continues to grow.
A card with an EMV chip and contactless, but not magnetic stripe. - Mastercard
The Company has announced. It says it will be the first payments network to phase out the technology, which dates back to the 1960s.
The company said the magnetic stripe will start to disappear in newly-issued Mastercard credit and debit cards in Europe, while banks in the United States will no longer be required to issue chip cards with a magnetic stripe starting in 2027.
From 2029, no new Mastercard debit or credit cards will come with a magnetic stripe, except for prepaid cards in the US and Canada, and they’ll be gone completely by 2033.
Mastercard said the long lead time has been designed specifically to give remaining partners who still rely on the technology to phase in chip card processing.
"THE MAGNETIC STRIPE WAS INVESTED IN THE 1960S"