By Greg Floyd
Vice President, Deposit Operations
U.S. banks started issuing chip-enabled credit cards in 2015. It took longer to do the behind the scenes work to make debit cards work with the chips because debit card issuers must offer merchants at least two payment routing options. Credit cards require just one. So while we started our work in 2014, it simply took longer to develop a chip that can support multiple options.
As a result, by the end of 2015, only about 25 percent of all debit card users had chip enabled cards. At the end of 2016, CreditCards.com said 63 percent of all card holders had chip-enabled cards. INB customers were among those 63 percent; all of our customers have been issued chip-enabled debit cards.
But what exactly is a “chip card” and why do you need one? Our debit card partner, Visa, offers these answers to some of the most-asked questions about chip cards:
Answers to questions about chip technology:
Q: What is a chip card?
A: INB Visa Debit Cards now feature built-in chip technology. You’ll enjoy global acceptance plus an enhanced level or security.
Q: How does chip technology protect my information?
A: When you use your card at a chip-activated terminal, the embedded chip generates a one-time use code. This code is virtually impossible to counterfeit and helps reduce in-store fraud.
Q: Where can I use a chip card?
A: You can use your card at millions of places that accept Visa Debit Cards, in the U.S. and around the world.
Q: Can I still swipe my card to pay?
A: Yes. If a merchant is not yet chip-activated, you can continue to swipe your card and enter your PIN or select CREDIT and sign for your purchase, if necessary.
Q: Does my chip card work at the ATM?
A: Yes, you can use your card to get cash, check your balance and more. Be sure to insert the chip end of your card into the A TM with the chip facing up. Your card will remain in the ATM until your transaction is complete.
Q: Will I have to pay any fees to use a chip card?
A: There are no additional fees to use a chip card.
If you have questions about your chip card or chip cards in general, don’t hesitate to contact our customer service at 217-747-5500 or 1-800-771-2316.