A mobile phone capable of automatically handling smart card is provided. The phone includes a card holder for holding a smart card. The card holder includes a sheet responsive to magnetic forces. The phone further includes a plurality of electromagnets mounted in a cover of the phone. When the electromagnets are electrified one by one according to a first order, the sheet is attracted by the electromagnets one by one according to the first order, thus the card holder is drawn into the phone. When the electromagnets are electrified one by one according to a second order, the sheet is attracted by the electromagnets one by one according to a second order, thus the card holder is ejected from the phone.