At present, the work of gradually closing down the downgrade transaction of financial IC cards is uniformly deployed nationwide, so as to comprehensively improve the safe transaction level of bank cards. The so-called downgrade transaction means that the bank card with both chip and magnetic stripe does not use chip, but uses magnetic stripe to complete the transaction. From next year, all commercial banks will stop issuing traditional magnetic stripe cards. This also means that the traditional magnetic stripe card in your hand will face "delisting". From now on, cardholders who haven't changed their chip cards can take the time to update your bank cards.

according to different card media, the current bank cards are mainly divided into three categories, namely, pure chip cards, pure magnetic stripe cards and composite cards with chip and magnetic stripe. All commercial banks first issued pure magnetic stripe cards. Later, because magnetic stripe cards are easy to be copied, the security is not high, so it is imperative to use chip cards with higher security. At this stage, composite cards can use both chips and magnetic stripes. The transaction of closing the downgrade mentioned in the notice of the central bank is the transaction of closing the composite card to brush the magnetic stripe on terminals such as POS and ATM with chip acceptance ability.