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I am receiving this error when a customer is trying a transaction. What causes it?

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closed as off topic by Polynomial, LamonteCristo, Iszi, Rory Alsop Nov 19 '12 at 13:55

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This isn't a security question. Contact your card provider or equipment manufacturer. In any case, I'd guess it means precisely what it says - track 2 of the card data is damaged. – Polynomial Nov 19 '12 at 13:03
Axle welcome to Information Security. Please take a few moments to review the FAQ, and also How to Ask - you've already asked several poor questions that are not relevant here. – AviD Nov 19 '12 at 13:58

It simply means that the magnetic stripe on the card is unreadable, or the reader itself is broken or gummed up. There are 2 tracks on the magnetic stripe on a credit card, track 2 in this case is damaged or perhaps simply covered with some sort of dirt or dust. Try cleaning the card and/or the reader.

From a security perspective it could be that this credit card is counterfeit, that it was done badly, however there's no way you can really tell. More likely it's just a bad card.

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