Integrated Circuit Card

AAA

DEFINITION of 'Integrated Circuit Card'

A card that has an embedded circuit, such as a computer chip. Integrated circuit cards are made of plastic or a similar material, and are most often associated with specific credit cards known as EMV cards.

INVESTOPEDIA EXPLAINS 'Integrated Circuit Card'

Integrated circuit cards allow the storage of information on the card itself. The consumer's information on the card is accessed when the card is used in a card scanner. Combined with other security measures, such as a PIN number or password, the chip allows the secure transmission of personal and financial information.

Europay MasterCard Visa (EMV) cards are known as “smart cards” due to their integrated circuit chip (ICC). Though they’re mainly used in Europe and Asia, they’re beginning to become more frequent in the United States. 

While integrated circuit cards are often associated with credit cards, they are also used in a variety of other settings. For example, employees may be assigned an identification card that they must scan in order to be allowed inside a secure building. 

RELATED TERMS
  1. Credit Card

    A card issued by a financial company giving the holder an option ...
  2. Automated Teller Machine - ATM

    An electronic banking outlet, which allows customers to complete ...
  3. Recurring Billing

    When a merchant automatically charges a cardholder for specified ...
  4. Credit Card Authentication

    The merchant’s process of making sure a customer’s credit card ...
  5. Personal Guarantee

    An individual’s legal promise to repay charges to a business ...
  6. Opt Out Right

    A consumer’s authority under the 2009 Credit CARD Act to disagree ...
Related Articles
  1. Credit & Loans

    What You Need To Know About EMV Credit Cards

    Finally, the U.S. is beginning to move to EMV credit cards. Here's how they'll keep us safer and what they won't fix.
  2. Credit & Loans

    Credit Card Tutorial

    Credit cards can be a useful tool if you know what you are getting into. Learn the risks, rules, history of credit cards.
  3. Savings

    Which Are The Best Credit Cards To Take To China?

    Credit cards are now much more widely accepted in China – and one issuer leads the pack, due to its deal with China UnionPay, the Chinese bankcard network.
  4. Credit & Loans

    Chase Sapphire Preferred Vs. AmEx Platinum

    Chase Sapphire Preferred has many rewards and is much cheaper. Is American Express Platinum worth its premium price? That depends.
  5. Credit & Loans

    How to Challenge & Win A Credit Card Dispute

    Found an error on your credit card statement? Five strategies to persuade the card issuer to fix it in your favor.
  6. Credit & Loans

    Review: Barclaycard Rewards MasterCard

    If you're looking for a rewards card and you have an average credit score, this one's worth investigating.
  7. Savings

    Avoid Credit Card Rewards Devaluation At All Cost!

    If you don't know how to redeem your rewards points, we'll show you the easiest way to avoid rewards devaluation this year.
  8. Credit & Loans

    Which Credit Cards Are Best In Europe?

    These cards avoid the main credit issues facing U.S. travelers to Europe – foreign transaction fees that make purchases more costly and no EMV chips.
  9. Credit & Loans

    Review: Discover Credit Cards

    Discover it cards still offer generous rewards and no annual fee. But how generous depends on which card you end up with, and what your credit score is.
  10. Credit & Loans

    Review: Old Navy Credit Cards Costs & Benefits

    If Old Navy is your favorite store, here's the lowdown on its two credit cards. Interest rates are high, but rewards are good at all Gap-owned stores.

You May Also Like

Hot Definitions
  1. Subsidy

    A benefit given by the government to groups or individuals usually in the form of a cash payment or tax reduction. The subsidy ...
  2. Sunk Cost

    A cost that has already been incurred and thus cannot be recovered. A sunk cost differs from other, future costs that a business ...
  3. Technical Skills

    1. The knowledge and abilities needed to accomplish mathematical, engineering, scientific or computer-related duties, as ...
  4. Prepaid Expense

    A type of asset that arises on a balance sheet as a result of business making payments for goods and services to be received ...
  5. Gordon Growth Model

    A model for determining the intrinsic value of a stock, based on a future series of dividends that grow at a constant rate. ...
  6. Cost Accounting

    A type of accounting process that aims to capture a company's costs of production by assessing the input costs of each step ...
Trading Center