What does Magnetic Stripe mean?

The magnetic stripe of a credit card can be found on its reverse side, and most of the time is of black color, although silver or brown are not unusual as well. It is a security system of the credit card or debit card, and it contains important information such as personal data of the credit card holder (account number, credit card number and so on). The magnetic stripe is not only a particularity of credit or debit cards, but it can also be found on the drivers’ license, on the gift and loyalty cards, or even the well known phone cards. De to technology developments which uses radio frequency technology, smart cards do not need the magnetic stripe.