The Future Trends of Card Payments

credit card

In the dizzying world of new payment technologies, cards are here to stay.

With credit card companies relentless in the pursuit of innovation and enhancing customer experience, cards are being revered as the “sacred swiss army-knife” that slays the competition away with all-rounded capabilities in the payments processing world.

Although credit cards remain a staple in modern finance, the fact that it adheres to an evolution process that paves the path in influencing the many ways that consumers are able to interact with their credit cards along with other financial transactions. It’s only normal to envision that the card of the future can be expected to be integrated with high-tech elements engineered by credit card firms, entrepreneurs and innovators alike.

Online banking, mobile payments, credit card apps and credit card microchips are among some of the latest developments in the world of credit cards that we’re already familiar with and so, let’s review the next top three technology trends that are within the scope of innovative developments from credit card firms to entrepreneurs and innovators of the modern age.

Adoption of Microchips

Recently, Visa and MasterCard are renewing a push to speed the adoption of microchips into credit and debit cards to bolster defenses against cyber criminals notorious for stealing consumer data from eBay’s computer systems.

Card processing companies have debated that the black magnetic Relevant Products/Services strips on the backs of credit cards would eliminate a substantial amount of U.S credit card fraud. Hence, the more advanced microchip technology would do a better job in offering better protection against fraudulent activities with the reason being that these microchips present an additional barrier to criminals that have no trouble in replicating magnetic strips and have a harder time replicating complex microchips.

Additionally, chip cards utilize a one-time code that transacts between the chip and the retailer’s register. The data transfer is rendered useless to any one else except for the both parties involved. Experts have also argued that chip cards are nearly impossible to copy.

Although it may take some time for chip technology to kick off due to the costs and disputes over how the network should operate, these problems are usually centered between retailers, card issuers and processors with factors such as sticking with a signature-based system, which processing networks will gain access to the new system or should they move to a system that requires a personal identification number.

As a result, these options will eventually impact how much retailers and customers have to pay and how much credit card issuers make each time a card is used.


With the advent of maximizing security with biometric recognition and identification technology, Seiko Epson has engineered an ultra-thin fingerprint reader that can easily be incorporated into a variety of commonplace items, not to mention credit cards.

The company also hopes to target self-authenticating credit cards in which a tiny on-card processor can be used to compare the captured fingerprint data with the users fingerprint data stored in an embedded memory. Non-matching fingerprints would render a card unusable, preventing abuse in the case of loss or theft. An interesting innovation that could be realised would be to design an invisible credit card made of special materials that doesn’t reveal any card details not unless they are revealed through fingerprints or other forms of owner identification.


Ever thought of wearing your credit card on your sleeve? Well, an Australian tailoring company struck a partnership with Visa to create a prototype “power suit” that has a cashless payment chip embedded into the sleeve of the wearer to make payments well, fashionable of course. You’ll have to see the video to believe it and be amazed.

According to Matt Jenson, CEO of M.J Bale, he pointed out that, “It gives men the ability to pay for anything with the effortless swagger of a celebrity, tycoon or double agent.”

Anyway, it’s not that hard to imagine James Bond in his next 007 flick to stylishly pay across a payWave terminal for an old-fashioned whiskey.

As innovations in payment technology continue to evolve at a rapid pace, it’s important to note that the industry will undergo an evolution but not a revolution just yet.

The irony about technology is that for most of the time it appears to be providing solutions to a problem, it’s often seen as a disruptor but then again we believe that technology is not a one size fit all solution simply because, not every technology is right for every consumer.

A seamless experience combined with an optimal security offering remains to be at the peak of priorities especially in this innovation age. For now, it’s ridiculous to simply ditch cards and trade it with mobile payments that don’t fit everywhere with the reason being that mobile payments are still considered to be a nascent technology despite gaining much traction in the payments world.

Credit cards aren’t going to fade away anytime soon, but it will definitely go through phases of evolution with microchips, biometrics and wearable technology just to name a few.

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