by 
The Curious Bag
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Some new credit cards come implanted with a RFID (radio frequency identification) chip that allows them to be read without passing them through a card scanner. Unfortunately, this technology does have some security risks.
RFID
RFID chips contain a small radio antenna and transmitter that allows them to communicate over short distances.
Advantages
RFID credit cards do not have to be swiped, but could be read by a scanner from a short distance, speeding up payment.
Security Risk
Because RFID cards can be read from a distance, someone with a scanner and a laptop could read the credit cards of people walking by, obtaining their names and credit card numbers.
Feasibility of Risk
While the information on the credit card is encrypted, a team from the University of Massachusetts was able to develop a way to steal information from RFID cards and use that information to make purchases with the card owner's information.
Conclusion
While RFID cards pose a risk, according to The New York Times, credit card companies have argued that they are developing new security safeguards that will make the cards safe to use.
Source:
NYTimes: Researchers See Privacy Pitfalls in No-Swipe Credit Cards
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