What is a Bluetooth credit card?

A Bluetooth credit card is another name for the type of “smart” card that loads payment information from your phone using Bluetooth wireless technology when you need to make a transaction. Some good examples are Fuze and Stratos. Their main selling point is that you can load lots of different cards to your account, basically turning many cards into one and giving you less to carry around. But one big drawback is the cost; for example, Fuze will set you back $129. 

Some people may also use the term Bluetooth credit card to describe a card such as the Capital One SavorOne Cash Rewards Credit Card. It contains a chip that allows you to make contactless payments at equipped terminals. But it actually relies on RFID technology, not Bluetooth.  

Here’s what you need to know about Bluetooth credit cards:

• They use Bluetooth wireless technology to download a card’s number, expiration date and security code from your phone when you’re ready to make a purchase. Your data is encrypted to help increase your security. 
• Through a phone app, you can add the details for all types of cards: credit, debit, rewards, membership, etc. You can then put this information onto your Bluetooth card.
• You can make transactions with a Bluetooth credit card like any other card. But you get to choose which card to use with an app or buttons on the card itself. 
• Bluetooth credit cards work with swipe, dip/insert, and tap systems. 
• Bluetooth cards have security systems aimed to combat fraud. For example, you may be able to prevent your card from being used unless connected to your phone. You could also remotely wipe a card’s data or disable it.

Bluetooth credit cards are relatively new, so they aren’t too common yet. Whether or not you should get one really depends on how much you value having less to carry. While there have been some concerns about security and hacking, Bluetooth card creators regularly update their systems. And since you’re technically still using your actual credit card for the charges, you’ll almost always have $0 liability for fraud. Plus, you’ll continue to earn all the rewards your cards offer. Making a purchase via Bluetooth card is basically the same as using your card online.