Chip-And-Pin Credit Cards: How to Navigate Europe Without One

Travelers going to Europe will run into the issue of the chip-and-pin credit card, a card that differs from the ones in common use in the U.S. while being the standard type in Europe. Here are some of the basics on what the difference will mean for American travelers.

The cards look the same as the ones used here, with the main difference being a small chip embedded into the corner of the credit card. It generally served the same purpose as the magnetic strip on U.S. credit cards, and users must enter a pin when they make purchases with the card, the same way you do with a debit card.

Chip-and-pin cards are more secure, according to Anisha Sekar, the vice president of credit and debit products for the consumer site NerdWallet, told the Washington Post.

The problem this presents for American travelers is that using your credit card may be difficult and in some places it may not work. In the U.S. it is common to be able to get cash back at almost any store, such as a grocery store or drug store, and in Europe, this is usually not possible if you don't have a credit card with a chip. Other things, like the bike-sharing programs many cities offer, will not accept a credit card without a chip in their machines.

Many credit card companies, including American Express, Discover, Visa and MasterCard have plans to introduce the chip technology to their credit cards within the next few years.

"All of them hold merchants liable for fraudulent transactions if the merchant doesn't accept EMV technology beginning in 2015-2017, depending on the card network and the type of transaction," said Sekar.

If you need cash while you're traveling in Europe, almost all ATMs accept credit cards with just magnetic strips, so you can avoid problems by carrying cash. An additional action you can take is to make reservations and pay in advance online for activities you're planning such as group tours. Then you pay by entering your credit card information, the same way you would anywhere, and the chip isn't an issue.