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How to Use Automotive Keys Properly There are a variety of styles of automotive keys. Some of them have transponder chips on their heads, while others are flat and function mechanically via grooves on the tops and bottoms. Early car keys were easy to copy, but manufacturers later introduced a chip that stored a unique “password” for your car. This adds an extra layer of protection against theft. Transponder key A transponder key, also known as a chip key, is a specific car key that is equipped with an electronic microchip embedded in the h