Which of the following is a common fraud risk mitigation for card payments?

• A. Magnetic stripe cards
• B. EMV chip cards
• C. No authentication
• D. Ignoring fraud monitoring

Answer: (B)

Using EMV chip cards is a common fraud risk mitigation because the chip creates a unique cryptographic code for each transaction. This dynamic data is difficult to copy or reuse, so even if someone steals card details, they can’t easily counterfeit the card for another payment. Often the chip work together with PIN or other verification, adding another layer of protection at the point of sale. In contrast, magnetic stripe data is static and can be skimmed and cloned, making it far more vulnerable to fraud. Options that involve no authentication or ignoring fraud monitoring aren’t security measures at all and would leave payments exposed to fraud.