Today, Chase Card Services, a division of JPMorgan Chase & Co. [NYSE: JPM], announced it is the first major U.S. bank to issue chip-and-signature, a credit card with EVM chip technology that provides consumers with better ease-of-use and stronger security while traveling abroad.
Chase will first unveil chip-and-signature on the JPMorgan Palladium credit card in June, a card serving customers who frequently travel abroad, and later to other Chase credit cards within the year.
Chase's cards with chip-and-signature technology will feature both an embedded encrypted chip and traditional magnetic strip to accommodate merchants in the United States. The embedded microchip of chip-and-signature makes the card extremely difficult to copy, because the encrypted chip enables the safer processing and storing of data. Chip technology is the gold standard in Europe and has completely replaced magnetic strips, so cards with chip-and-signature technology offer more streamlined credit card purchases while traveling in Europe.
"Chase Card Services is constantly seeking innovative ways to improve both the transactional and security experience for cardmembers while using their cards during travel," said David Porter, general manager, Chase Card Services. "The addition of chip-and-signature technology enables Chase cardmembers to enjoy simplified transactions in Europe, such as seamlessly using point-of-sale kiosks and train ticket turnstiles the same way the locals can, with the added piece-of-mind of secure transactions."
"Although chip-enabled terminals are fairly uncommon in the United States where the vast majority of merchants only support magnetic strip cards, our focus is to provide chip-and-signature cards to our cardmembers who frequently travel outside the United States," added Porter.