EMV facts for kids

A picture of two credit cards. The shiny, square area on the left side is the EMV chip.

EMV is a special way that credit cards and debit cards talk to payment machines. It's like a secret language or a set of rules they use. Before EMV, most cards had a simple magnetic stripe on the back. This stripe could only hold a small amount of information. Also, the information on the stripe wasn't hidden or protected.

EMV cards are often called "chip cards" because they have a shiny, metallic chip on the front. This chip is much better than the old magnetic stripe. It can store a lot more information. Plus, the information on the chip is encrypted, which means it's scrambled and much safer. This makes it harder for others to steal your card details.

Chip cards have been around since the early 1990s. At first, each bank had its own system for these cards. But with EMV, everyone agreed on one standard way for them to work. The first EMV rules came out in 1995. Many countries in Europe started using EMV cards early on. The United States began requiring new cards to have EMV chips from 2015.

How Do EMV Cards Work?

A payment terminal. The EMV card is inserted in the slot at the bottom.

Using an EMV card to pay is often called "chip and PIN." When you want to buy something, you put your card into a small machine. This machine is called a "payment terminal" or "PIN pad." You need to put the card in with the chip facing up and towards the machine.

The card stays in the machine while it reads the information from the chip. The terminal will usually show you the total amount of your purchase. If it's a debit card, you might choose which account to use. Then, the machine will ask you to enter your personal identification number (PIN).

Your PIN is a secret number that only you should know. It makes sure that only the card owner can use the card. If someone enters the wrong PIN too many times, the card will lock. This means it cannot be used until it's unlocked. Once you enter the correct PIN, the terminal talks to your bank. It asks the bank to allow the transaction.

The bank will either "approve" (accept) the payment or "decline" (reject) it. After the bank decides, you can take your card out of the terminal.

Images for kids

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  frameless

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  Contact pad for the electrical interface on the front side of a credit card

See also

In Spanish: EMV para niños