If you want to withdraw money from a TM, you have to put the card in the slot of the machine properly. The card is recognized only if the black bar on the card is in the required direction. Many electronic cards have this black stripe on them. It's called a magnetic strip. A magnetic strip is a thin film made of a magnetic metal i.e. a mixture of iron particles in plastic. When iron particles come close to a powerful magnet, they themselves become magnets. And the particles are arranged in rows. The magnetic recorder in the tape recorder taps the card owner's details, number, etc. on this strip. This magnetic strip stays in front of the card reader when the card is inserted into the slot of the machine. The card reader has a wire coil. Due to the magnetic field current is generated in the coil. This current goes into the computer circuit and the card details are solved. The data on the strip is numbered vertically like a barcode. We do not see that these tiny lines belong to the magnetic field.
Data on the magnetic strip of an ATM credit card is stored for years. Care must be taken though. It should not be kept close to a powerful magnet or overheated. Doing so weakens its magnetic field and erases data.
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