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How to Use Automotive Keys Properly Automotive keys come in various styles. Some have transponder chips inside their heads, while others are flat and operate mechanically by utilizing grooves on their tops and bottoms. Early car keys were easy to duplicate, but manufacturers later introduced a chip which 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 with an elect