Credit Cards do not have any way of actually tracking the location of the credit card.
But if someone uses your credit card without your permission then the transactions can be traced to the location because credit card companies have much more advanced ways of tracking transaction locations.
Also if someone happens to purchase something online using your credit card then they can most times track the location of the person by going to where the package was shipped if it was shipped to a home or business address.
If your credit card gets stolen or lost you need to contact the credit card company and have them freeze the credit card so the credit card cannot be used to make purchases with.
Always contact the credit card company right away after you lose the credit card or get it stolen or suspect it is stolen.
If you report the credit card stolen or lost then you won't be liable for any fraudulent charges.
Credit Cards don't have any GPS tracking on them so it would be impossible to know the exact location of a credit card although that would be a nice feature added to credit cards.