Is This the End of Plastic? Visa’s New Technology Could Render Physical Cards Obsolete (2024)

FAQs

Will physical credit cards become obsolete? ›

While all these notions are true, it is safe to say that bank cards will not be going anywhere in the near future. This is mainly due to the fact that no other modern payment method currently beats their adoption level, connectivity, and acceptance. After all, 76% of consumers have at least one credit card.

While it's unlikely that credit cards will disappear entirely in the near future, the form and function of credit transactions are likely to evolve significantly.

Mastercard Leads the Way

It has told its card issuers to abandon first-use plastic by 2028, and all newly-produced cards will be created with eco-friendly materials starting in 2028, as well. A key part of its effort is to substitute recycled plastic for first-use plastic.

Visa Flexible Credential will use a single card product that can switch between payment methods, including debit, credit, rewards points or "pay-in-four." Visa introduced more ways to use tap technology, including tapping your device to authenticate online purchases or transfer funds to family and friends.

While banks cite a combination of declining foot traffic, a reduction in in–store transactions and increased demand for online banking services as the reason for the closures, community leaders have expressed concern about the impact of such closures on cash–reliant businesses, community organisations, socially ...

This type of money is known as a central bank digital currency (CBDC). It would not replace cash.

A card may continue to work through the last day of the month indicated in its expiration date. But after that date, the card will most likely be declined if you attempt to use it for a purchase.

Traditional payment methods, such as credit cards with magnetic stripes and EMV chips, have been reliable for decades. However, more advanced and secure technologies like biometric technology and digital wallets are emerging and set to overtake traditional ones.

It's important to destroy old credit cards until they're rendered unusable. To destroy plastic cards, cut with scissors or shred and dispose of the pieces in separate bags. To get rid of metal credit cards, return them to your credit card issuer for safe disposal.

Overall, 100% plastic playing cards are much more durable, harder to cheat with, have the ability to be cleaned, don't bend as easily, have a unique “feel” and are much easier to shuffle.

Do plastic cards last longer? ›

Plastic cards have a much longer lifespan than paper cards. They are more flexible than paper cards, which makes them easier to shuffle. They won't tear or fold and they can be cleaned.

Plastic business cards provide additional durability and security for your contact information. Even heavy-duty, thick paper business cards can suffer the wear and tear of everyday use.

Effective 13 April 2024, Visa will re-classify three existing decline response codes, realign response code 14 and introduce a new response code. Three response codes are moving from Category 4—Generic Response Codes to Category 2—Issuer Cannot Approve At This Time.

Virtual Visa cards only exist in digital form and have their own unique number, security code, and expiration date. These cards may be connected to your bank or preloaded with funds.

Virtual credit cards are a digital version of your physical credit card. They generate a unique credit card number for you to use in place of your physical card number, preventing the merchant from storing your credit card information and keeping your financial data more secure.

With digital wallets like Apple Pay, Google Pay and Samsung Pay, customers can easily complete transactions. Using Near-Field Communication technology (NFC) so users can simply place their device near terminals to pay, these wallets are secure and encrypt credit card information, removing the need for physical wallets.

With card information stored on smartphones, tablets, or computers, digital wallets eliminate the need for physical credit or debit cards. According to a 2021 survey, around 150 million Americans have used a digital wallet at least once.

The future of credit cards will most likely not involve physical cards. Their primary function of communicating and authenticating transactions at POS terminals will be done by new technology powered contactless solutions.

While credit cards won't be needed in five years, some people will still want to use them, just as some people still prefer paper checks even though better alternatives exist. Still, there are signs the momentum is shifting.