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Global payments company Mastercard has announced that, in a bid to combat identity theft and card fraud, it will phase out the 16-digit number on its credit and debit cards by 2030. AMP Bank has become the first partner to roll out these cards, with more banks expected to follow in the next 12 months – meaning your next card could be a numberless one.
This shift introduces digital tokens to help enhance security. These are unique codes generated by your banking app or a biometric app. While this won’t be a significant change for anyone already using these apps, some consumers may find themselves relying on digital features they aren’t familiar with.
💡 A biometric app uses a type of technology (biometric) to identify or authenticate the user based on unique physical characteristics such as fingerprints or face recognition. While it enhances security there are still concerns about data privacy and the possibility of misuse.
Here’s what you need to know before you get your new numberless card.
How will numberless cards work?
Currently, when making an online or phone transaction, you enter the 16-digit number displayed on your card. Numberless cards will eliminate these digits, requiring you to use your banking or biometric app to generate a single-use or limited-use digital code for transactions.
The added security comes from the limited lifespan of these tokens, which expire after use or within a set timeframe, as well as the option to enable multi-factor verification on banking and biometric apps.
Numberless cards have already been rolled out in Europe, the UK, and India, so this isn’t an entirely new system. Mastercard first announced its plans to go numberless in 2020.
In 2023-2024, total card fraud in Australia amounted to $868 million. The leakage of credit card numbers and payment details remains a major issue following data breaches, such as the 2024 Ticketmaster hack, which exposed millions of credit card numbers.
What are the critics saying about no card numbers?
Many consumers are already comfortable with mobile banking, biometrics, and multi-factor authentication. However, older individuals and people with disabilities may face challenges adapting to the changes.
While removing numbers from cards helps prevent scams involving stolen card data, it does not protect against mobile porting fraud or impersonation scams. And although biometric breaches are less common, they can be highly dangerous due to the sensitive data stored within these systems.
What’s next for payments?
The next step after removing card numbers could be eliminating physical cards altogether, shifting towards fully digital payment ecosystems. To some extent, this transition is already underway, with smartphones handling a growing share of transactions.
Retail and payment technology are evolving rapidly. Some retailers are testing AI-driven systems that allow customers to leave stores with purchases without needing to tap a card.
As the debate over the need for cash continues, physical cards are likely to be the next payment method to become obsolete – though this change is still some years away.
How can you protect yourself from card fraud?
As we move toward numberless cards and beyond, there are still steps you can take to keep your current card secure:
Be cautious with your data
"Card-not-present" fraud accounted for a significant portion of domestic scams in FY23/24. Always ensure you enter your card details only on secure websites, and avoid saving them in databases whenever possible.
Monitor your transactions
Regularly check your bank activity, and immediately lock your card or report any suspicious transactions. Life is busy so it can be easy not to prioritise your concerns. If you’re ever in doubt remember the old saying – better safe than sorry.
Use additional security features
Opt into services like Online Secure, which provides NAB customers with an extra layer of fraud protection through additional payment authorisation steps. Many banks offer similar security measures.
Bottom line
Even if your next card isn’t numberless, it’s likely the one after that will be. For many consumers, this won’t drastically change how they make payments. As scammers become more sophisticated, banks and financial institutions will continue to develop new ways to combat fraud.
Regardless of whether you have a numberless card, following basic security practices – monitoring transactions and being mindful of how you use your card – will help keep your money safe.
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Disclaimer
The information contained on this web page is of general nature only and has been prepared without taking into consideration your objectives, needs and financial situation. Any opinions expressed within an article are those of the author and do not specifically reflect the views of Compare Club Australia Pty Ltd.
