Banco Santander will discontinue the utilize of coordinate cards for financial transactions on March 9th, joining a growing number of Chilean banks phasing out the decades-vintage security measure. The move comes after a year-long delay imposed by the Comisión para el Mercado Financiero (CMF), Chile’s financial market commission, following concerns about the impact on older adults and those with limited digital literacy.
Coordinate cards, which require a numerical code from a physical card to authorize transactions, were originally slated for elimination on August 1, 2025. However, the CMF pushed the deadline to August 1, 2026, in response to criticism that the transition was happening too quickly. BancoEstado began phasing out the cards in November 2025 for new users, and expanded the discontinuation to additional customers on February 6th, directing them to activate BE Pass – a key-based system – or BE Face, which utilizes facial recognition technology.
While Banco de Chile will adhere to the CMF’s extended deadline, Santander’s decision to move forward underscores a broader shift towards more robust digital security protocols. The CMF initially mandated the change to address evolving cybersecurity threats, citing the demand to mitigate fraud risks. The transition also necessitates the implementation of Reinforced Customer Authentication (RCA) for certain transactions beginning this August.
RCA requires users to employ at least two independent authentication factors. These factors fall into three categories: something the user knows (like a PIN or password), something the user possesses (such as a token, mobile device, or payment card), and something the user *is* (biometric data like fingerprints or facial scans). For example, when initiating a transfer of 25,000 Chilean pesos, a bank application may now require a standard password followed by a one-time code sent via text message, a fingerprint scan, or facial recognition.
The shift has sparked debate among Chilean citizens. “It’s a bit difficult for older adults to use apps for payments. The card was useful for doing it remotely,” a source told BioBioChile last year. Recent conversations with residents reveal ongoing anxieties. “The first time they said [the card would end], I cancelled it,” one individual shared with La Radio this week, adding, “I have that problem, I’m a ‘digital ignoramus.’”
The CMF stated that the delay was intended to “facilitate the transition to more robust authentication mechanisms, which contribute to mitigating the risk of fraud for those population segments most intensive in the use of these printed media for their transactions.” RCA will also be required when opening new bank accounts, changing personal data, or modifying security devices.
