Key findings
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RFID credit cards are becoming increasingly popular and are already being used by major credit card issuers.
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These cards use radio frequencies to allow the cardholder to pay at terminals by holding their card on a card reader rather than swiping or inserting it.
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The use of RFID credit cards is considered safe and credit card fraud using RFID readers is rare and difficult.
Radio frequency identification (RFID) credit cards are a type of contactless card technology that allows you to pay by simply tapping the card at the payment terminal.
Although this type of card has been replacing traditional cards without this technology for many years, demand for them increased rapidly during the COVID-19 pandemic as people looked for ways to minimize contact with surfaces.
Most major issuers have incorporated this technology into all of their new cards, but as with any credit card, you should still take precautions to ensure your card is protected from identity thieves and fraudsters. However, if you’re wondering how secure RFID credit card technology is in particular, we have good news for you. Before we get into the security aspect, though, let’s first understand how an RFID card actually works.
What is an RFID credit card and how does it work?
An RFID credit card is equipped with radio frequency identification technology. This allows your credit card to communicate with a payment terminal using a radio frequency instead of a magnetic stripe.
RFID technology allows you to simply wave or hold your credit card near a card reader or ATM. This technology allows you to complete purchases in seconds. Plus, you never have to take your card out of your hand, minimizing contact with the card terminal and reducing the likelihood of you leaving your card in the reader.
How to determine if your card is RFID-enabled
While RFID technology is becoming standard on new credit cards, not all cards have this technology yet. Older cards that have not yet reached their expiration date may not have this technology yet. If you aren’t sure if your card is RFID-enabled, you can easily check by taking a look at the card.
RFID-enabled cards have a symbol on the front or back that looks like a Wi-Fi symbol turned on its side. This symbol is intended to represent the radio frequency used by the card to make it contactless.
If your card has this symbol, you should be able to make purchases by waving or tapping your card. To be sure, you can test it the next time you visit a store, ATM or gas station. When you’re at the payment terminal, look for the contactless symbol on the card reader that looks the same as the symbol on your card. Then simply tap your card on the payment terminal to complete your transaction.
How secure are RFID credit cards?
RFID credit cards are considered as secure as EMV chip cards, and data theft related to RFID cards is rare. This is due to the way these cards transmit information and what information is shared.
Unlike traditional credit cards, RFID cards use one-time codes to complete each transaction. Each time you use your RFID card, a new code is created, making it harder to compromise your information. However, just because theft using this technology is rare doesn’t mean it’s impossible.
Do you need RFID blocking protection?
Because RFID credit cards work via radio frequencies, some thieves have started targeting these credit cards using RFID readers. These readers could potentially steal your card information without your knowledge by getting close enough to your card to pick up the radio frequency. For this reason, there are a whole range of products on the market, such as cases and wallets, that claim to have RFID protection.
However, these products are not necessary to protect your RFID credit cards. For someone to compromise your card information, they would have to get very close to you – usually within a few inches – and have an RFID reader that can receive the signal. This signal is incredibly weak, so there should be virtually no barriers between the card and the card reader. This means that if you already have your card in a wallet or pocket, it is probably adequately protected from the range of an RFID reader.
And even if a reader could receive the signal, it could have problems with the other contactless cards in your wallet that are also sending signals. These readers typically can’t scan multiple cards at once, so it could have trouble selecting a card to read anyway. Additionally, because of the one-time codes mentioned earlier, it’s unlikely that a thief will be able to save your card information and use it over and over again, as they could with a physical credit card.
While it’s technically possible for a thief to sniff your RFID card, it would take a lot of effort. If you’re a victim of credit card fraud or identity theft, report the theft immediately, no matter how it happens. The sooner you do this, the more likely it is that your bank or card issuer will cover the fraudulent charges under their liability insurance.
Tips for preventing credit card theft
RFID credit cards are some of the most secure credit cards available to us. However, as with any other credit card, it’s good to take precautions. Here are some tips to help you get started:
- Set up mobile notifications for all your accounts. You will be notified via mobile alerts every time you use your card and can immediately identify suspicious charges.
- Make sure you have a strong password for your online accounts. If you’re worried about losing or forgetting your password, you can use a password management app like Dashlane or LastPass. If possible, avoid saving your password on websites through your browser.
- Take the time to review your credit card statements and credit reports regularly. These tools document the activity on your accounts and give you a clear view of how your card is being used and what you are being charged for, so it’s a good idea to check them every week to spot early signs of fraud. You can get free weekly credit reports through the government-authorized website AnnualCreditReport.com.
The conclusion
RFID credit cards allow you to pay by tapping rather than inserting or swiping your card. Special RFID-blocking wallets and cases, despite their popularity, are generally not necessary to ensure security because the technology requires an obstruction-free environment and extremely close proximity to the target card. In other words, most materials — like a regular wallet, purse, or pants pocket — will prevent RFID technology from working, making it difficult for a fraudster to tap your card without your knowledge.
If you don’t currently have a card with this technology and would like it, you should contact your card issuer. They can probably send you a replacement card with this feature. Most of today’s top credit cards already have this feature, but you can always contact the issuer to double-check before applying.
