About Magnetic Stripes
What is a magnetic stripe?
Magnetic stripes might seem like a small addition to something like your gift cards, loyalty cards, and membership cards, but they serve an incredibly important purpose. These tiny black stripes contain a magnetic material that stores important information, such as your account number, expiration date, and other crucial details. This information is then read by the magnetic stripe reader when swiped, allowing for quick and efficient transactions. Thanks to the magnetic stripe’s ability to store information in a secure and durable way, our payment systems have become faster and more convenient than ever before.
About Magnetic Stripes: How do they work?
Magnetic stripe cards store data on a magnetic stripe at the back of the card. The magstripe contains iron particles in a plastic sheet. Each small iron particle acts as a tiny magnet. A magnetic force magnetizes these particles and encodes the data. This process creates a unique pattern on each card..
The pattern is read by the POS system when the card swipes. This decodes all the data that’s encoded in the card. It is important to keep magnetic strips away from items that could cause demagnetization, such as strong magnets or certain phones.
How do they work with POS systems?
Magnetic stripe cards give retailers a simple way to support gift, loyalty, and membership programs. The stripe stores data that a compatible card reader can access when a customer swipes the card.
Retailers can use this technology to connect physical cards with their existing programs, helping them manage customer information, track purchases, or apply rewards and benefits. Custom printing also gives businesses the flexibility to add branding, customer numbers, barcodes, or other details to each card.
For gift cards, loyalty cards, and membership cards, magnetic stripe technology offers a familiar and easy-to-use option that works with many retail systems.
How do magnetic stripes work with my POS system?
Your POS system or loyalty/membership system generates the card data and exports it for encoding onto the magnetic stripe. Once encoded, the card can work with a compatible card reader or system.
What Data is Stored on a Card?
The information stored on a card depends on how you plan to use it. For example, a gift card may have an account number that your system uses to check the card's available balance. A loyalty or membership card may include a number that connects the card to customer information stored in your system.
How Does the Encoding Process Work?
Your POS system exports the card data as a CSV file or another supported format. Duracard receives the data and uses it to encode the magnetic stripe on each card. We manage the process from card creation through data encoding and printing, making it simple to get your cards ready for use.
What are the Magstripe Track Options?
Magnetic stripes can use Track 1, Track 2, or both tracks. The coding requirements depend on which track you choose. Think of each track as a separate line that stores data. Each track can hold a set number of characters, typically ranging from 8 to 16, and some systems may require a starting number.
How do I determine if I should use Magnetic Stripe or Barcode?
Each technology has its strengths and weaknesses, and the choice should be made based on the particular needs of the project or system. Here are some things to consider:
Higher Data Capacity: Magnetic stripes can store more data compared to barcodes, making them suitable for applications that require a higher capacity.
- Durability: Magnetic stripes are more durable in terms of repeated swiping, making them suitable for applications where cards are frequently used.
- Application Range: Magnetic stripes are commonly used in various applications, including credit cards, access control systems, and loyalty programs.Â
- Industry Standards:Â Magnetic stripes are widely used and accepted.
- Encoding Complexity: While more complex than barcodes, encoding data onto magnetic stripes is a feasible process during card production.
- Compatibility: Magnetic stripes require specialized readers, but these readers are widely available and compatible with various systems.
How do I know if I need a HiCo or LoCo magnetic stripe?
The decision to use high-coercivity (HiCo) or low-coercivity (LoCo) magnetic stripes on a card depends on the specific requirements of the application and the durability considerations. Here are some factors to consider:
HiCo Magnetic Stripe:
Durability and Resistance:Â HiCo magnetic stripes are highly durable and resistant to accidental erasure. They withstand exposure to external magnetic fields, making them suitable for applications where cards may undergo rough handling or frequent use.
Security and Data Integrity:Â HiCo technology is often chosen for applications requiring a high level of security and data integrity. Access control for secure facilities, and cards storing critical and sensitive data commonly use HiCo magnetic stripes.Â
LoCo Magnetic Stripe:
Durability and Cost:Â LoCo magnetic stripes are generally less durable than HiCo and more susceptible to accidental erasure. They are, however, a cost-effective option for applications where durability is less critical.
Applications:Â LoCo cards find use in applications where cost considerations outweigh the need for high durability and security. Examples include loyalty cards, gift cards, and other non-sensitive applications.
Compatibility:Â Verify compatibility with your card reader or POS system, as some systems are designed for either HiCo or LoCo cards.
What track should I encode on?
Magnetic stripes use three distinct tracks, and each track stores specific types of information. These tracks run as parallel lines on the back of the card and include Track 1, Track 2, and Track 3. In addition, each track follows specific encoding standards, and the information it stores depends on how you use the card. Below, we explain what each track can store:
Track 1:
Type of Data: Alphanumeric data.
Common Information: Typically contains the cardholder’s name, account number, expiration date, and sometimes additional data.
Common Usage: Track 1 is commonly used in financial transactions and identification applications.
Track 2:
Type of Data: Numeric data.
Common Information: Contains the cardholder’s account number, card expiration date, and, in some cases, discretionary data.
Common Usage: Widely used in financial transactions and access control applications.
Track 3:
Type of Data: Numeric data.
Common Information: This track is less common and is typically used for specialized applications. It can include additional information beyond Tracks 1 and 2.
Common Usage: Less prevalent than Tracks 1 and 2, Track 3 is often reserved for specific, industry-specific requirements.