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Banks, insurance companies, hospitals etc., supplied IBM IRD with "raw plastic cards" preprinted with their logos, contact information etc.They also supplied the data information which was to be encoded and embossed on the cards.

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A magnetic stripe card is a type of card capable of storing data by modifying the magnetism of tiny iron-based magnetic particles on a band of magnetic material on the card.

This operation of applying the magnetic stripe to the plastic cards was done off line in another area of IBM IRD and not in the secured area.

The cards were then brought into the secured area and placed in "hoppers" at the beginning of the production line.

The magnetic stripe, sometimes called swipe card or magstripe, is read by swiping past a magnetic reading head.

Magnetic stripe cards are commonly used in credit cards, identity cards, and transportation tickets.As he walked in the door at home, his wife Dorothea was ironing clothing.When he explained the source of his frustration: inability to get the tape to "stick" to the plastic in a way that would work, she suggested that he use the iron to melt the stripe on. The major development of the magnetic striped plastic card began in 1969 at the IBM Information Records Division (IRD) headquartered in Dayton N. In 1970 the marketing organization was transferred by IBM DPD back to the Information Records Division in order to begin sales and marketing strategies for the magnetically striped and encoded cards being developed.It took almost two years for IBM IRD engineers to not only develop the process for reliably applying the magnetic stripe to plastic cards via a hot stamping method, but also develop the process for encoding the magnetic stripe utilizing the IBM Delta Distance C Optical Bar Code format.This engineering effort resulted in IBM IRD producing the first magnetic striped plastic credit and ID cards used by banks, insurance companies, hospitals and many others. on Aug 12, 1969 to head up this engineering effort. The IBM 360 computer was for scientific/business applications so the IRD engineers first had to convert the 360 into a "process control computer" and then develop software and hardware around it.In 1969 Forrest Parry, an IBM engineer, had the idea of securing a piece of magnetic tape, the predominant storage medium at the time, to a plastic card base.

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