Mastercard has announced plans to phase out the traditional 16-digit credit and debit card numbers by 2030. The company will replace them with on-device biometrics and tokenization to combat identity theft and fraud. The initial rollout of these numberless cards will begin in Australia, in partnership with local banks.
Other financial institutions are expected to follow suit over the next 12 months. Mastercard’s commitment extends to eliminating manual card entry and static passwords, adopting more secure authentication methods. Removing card numbers adds a layer of security by preventing unauthorized usage when the physical card is not present.
The ultimate goal may be to eliminate physical cards altogether, allowing consumers to rely entirely on biometrics for payments. Mastercard is also promoting its Click to Pay system to simplify and secure online transactions. This feature allows consumers to make online payments without inputting long card numbers and addresses, making the process faster and more secure.
Simon Forbes, Division President for the UK and Ireland at Mastercard, explains, “The secure process called ‘tokenization’ replaces the card number with random numbers, or tokens, for each transaction, which are meaningless if stolen.
Mastercard introduces enhanced payment security
This not only protects consumers from scammers but also protects retailers from cybersecurity and data breach threats.”
Consumers can register their card with Click to Pay via their banking app or look for the Click to Pay icon at checkout, streamlining the payment process while enhancing security.
The push to remove card numbers from physical credit cards marks a significant shift for the banking industry, which has dealt with card fraud since the 1960s. Recent measures, like chip-based and contactless cards, have not fully stopped card fraud, with Australian card details still being sold on dark web markets. Mastercard, a leader in fintech innovation, sees numberless cards as a solution to fraud.
By shifting to a model where 16-digit card numbers are replaced with encrypted tokens, Mastercard aims to make transactions more secure. These tokens can be generated and revoked quickly, used at specific merchants, or have built-in expiration dates, reducing their value on the dark web and leaving cybercriminals with fewer opportunities. The adoption of numberless cards is part of a broader trend towards mobile wallets, tap-to-pay, and other digital payment methods, offering both convenience and improved security.
The introduction of numberless cards also includes integration with accounting software for better expenditure tracking and identity confirmation through customer devices, reducing overall fraud risk. Mastercard Australasia division president Richard Wormald praised the approach, highlighting its value for small business owners. “Digital banking has transformed the way we manage our money as consumers, but small business owners often miss out on that same seamless experience,” Wormald said.
“Numberless cards represent a significant step forward in payment security, offering additional protection against fraud and account compromise.”