Mastercard has announced plans to remove the 16-digit number from their credit and debit cards by 2030 in a move designed to stamp out identity theft and fraudulent use of cards.
The numbers currently used to identify cards will be replaced with tokenisation and biometric authentication
In 2022, Mastercard added biometric options enabling payments to be made with a smile or wave of the hand.
Tokenisation converts the 16-digit card number into a different number — or token — stored on your device, so card information is never shared when you tap your card or phone or make payments online.
There is nothing quite like the sinking feeling after receiving a call or text from your bank asking about the legitimacy of a card transaction.
In 2023-2024 the total value of card fraud in Australia was $868 million, up from $677.5 million the previous financial year.
Credit card numbers and payment details are often exposed in major data breaches affecting large and small businesses.
Late last year, the US Federal Trade Commission took action against the Marriott and Starwood Hotels for lax data security. More than 300 million customers worldwide were affected.
Event ticketing company Ticketmaster was also hacked last year. The details of several hundred million customers, including names, addresses, credit card numbers, phone numbers and payment details were illegally accessed.
So-called "card-not-present fraud", where an offender processes an unauthorised transaction without having the card in their physical possession, accounts for 92 per cent of all card fraud in Australia. This rose 29 per cent in the last financial year.
The Card Verification Value (CVV) (or three-digit number on the back of a credit card) aimed to ensure the person making the transaction had the physical card in their hands. But it is clearly ineffective.
The first rollout of these numberless cards will be through a partnership with AMP Bank, but it is expected other banks will follow in the coming 12 months.
Original story : https://www.abc.net.au/news/2025-02-04/mastercard-credit-card-numbers-biometric/104895038
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