Geldkarten

Geldkarten, or Geldkarte, are stored-value cards used for electronic payments. They enable users to carry a certain amount of money on a card and make small, offline payments at participating readers without requiring real-time connectivity to a bank.

Development and adoption: Initiated in the 1990s by the German banking industry (Deutsche Kreditwirtschaft), with backing from the Bundesbank, Geldkarte was designed to function as an offline electronic purse. It was widely implemented in Germany and used in vending machines, transit systems, and small retail outlets. The system operated alongside cash and other card payments.

Technology and operation: Geldkarten are typically smart cards with embedded value that can be loaded at banks, automated machines, or partner schemes. Transactions decrement the stored value on the card and can proceed even when network access is unavailable. Security relies on processor chips and cryptographic methods; several versions and compatibility layers existed to align with evolving card technologies and readers.

Current status: With the expansion of contactless debit cards and mobile payments, the use of Geldkarten has declined and many programs have been phased out or migrated to newer payment methods. Legacy Geldkarten may still be accepted in some environments or maintained for historical/compatibility reasons. The concept remains notable in the history of German electronic payments.