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==Advantages== The first main advantage of smart cards is their flexibility. Smart cards have multiple functions which simultaneously can be an ID, a credit card, a stored-value cash card, and a repository of personal information such as telephone numbers or medical history. The card can be easily replaced if lost, and, the requirement for a [[Personal identification number|PIN]] (or other form of security) provides additional security from unauthorised access to information by others. At the first attempt to use it illegally, the card would be deactivated by the card reader itself. The second main advantage is security. Smart cards can be electronic key rings, giving the bearer ability to access information and physical places without need for online connections. They are encryption devices, so that the user can encrypt and decrypt information without relying on unknown, and therefore potentially untrustworthy, appliances such as ATMs. Smart cards are very flexible in providing authentication at different level of the bearer and the counterpart. Finally, with the information about the user that smart cards can provide to the other parties, they are useful devices for customizing products and services. Other general benefits of smart cards are: *Portability *Increasing [[data storage]] capacity *Reliability that is virtually unaffected by electrical and magnetic fields.
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