Bermuda’s banks are upgrading their debit and credit cards in line with changing security standards elsewhere in the world.

So-called “chip-and-pin” cards are on the way for customers of HSBC Bermuda, while those who bank with either Bank of Butterfield or Clarien Bank have already been issued with the improved technology cards.

The EMV/chip technology cards have long been used in many overseas countries as they provide enhanced security compared with magnetic stripe cards.

With a chip card, which has an embedded integrated circuit that resembles a computer chip, a cardholder authorises a purchase by inserting their card into a card terminal and keying in their personal identification number.

While Bermuda has been slow to adopt the technology, that is now changing. Butterfield and Clarien brought in the new-style cards last year, and HSBC Bermuda is now alerting customers that all its existing credit cards will be replaced with chip-and-pin cards starting in June.

Meanwhile Clarien Bank has, in partnership with MasterCard, launched new debit cards that feature the chip-and-pin technology and MasterCard’s PayPass system, which is a contactless tap-and-pay service believed to be more secure than old-style cards.

In a further development this week, the bank has unveiled an enhanced online banking platform called Clarien iBank, and its new suite of Visa cards that replace all existing Capital G credit cards.

Ian Truran, chief executive officer of Clarien Bank, said the new cards “offer our clients improved security for local, overseas and online purchases, enhanced services and benefits, and an exciting new rewards programme”.

Clarien iBank replaces the bank’s eBanking platform, providing customers with improved control, security, functionality and payment convenience, according to the bank.

“It gives them 24/7 access from any desktop or mobile device using a web browser to account portfolios, history and statements, payments, transfers and all current chequing and savings transactions as well as multi-level authorisation for commercial customers,” the bank said in a statement.

Commercial account administrators will be able to create and manage users, assign accounts and configure their level of access and authorisation, tasks they previously had to go through the bank to achieve.

Mr Truran said: “We have worked extremely hard over the past year to develop a product that our customers will find easy to use, safe in the knowledge that it is underpinned by the advanced security technology necessary to protect them against fraud and identity theft.

“The ability to self-manage accounts in real time will give our business clients in particular greater flexibility and enable them to run their company finances more efficiently.”

Clarien iBank has a new multifactorial authentication process for secure login and transactions using a hard token. The bank is in the process of delivering these tokens to clients.