The loco card stores name, address and function configuration on the controller (MS2, CS2, etc). I don't think it knows anything else. The reason you use a loco card is when you use MM or DCC locos, and want to add one quickly to your MS2 or CS2/3 without having to set the address, type the name, and choose the functions on the controller. The functions and other CVs/settings are still there on the loco decoder, the controller just doesn't know it.
The actual configuration of the locomotive is stored on the decoder itself as Ray has said.
For example, might have a DCC locomotive with 12 functions. I can take this locomotive to any controller and use it, the decoder knows everything about the locomotive it needs to operate. I could use a DCC controller, I could use an MS2, a friend's MS2, a CS2, etc. However, in the case of the MS2/CS2/CS3, Marklin have you create the locomotive on the controller before using it (this isn't necessarily a standard with other controllers). So, if I use it on my MS2, I have to create a new loco, name it, and set the function buttons F0-F12 on the MS2. If I take ti to a friend's MS2, I would have to do the same thing over. What you will notice is, even if you don't set any, and hit F0, for example, the headlights still come on. This is because the decoder knows this, we're only telling the controller itself there are 12 functions and perhaps giving icons for them.
Now, if I have a loco card and save the name/address/functions (lets say function descriptions to be a little more accurate), I can go to my friend's MS2, plug that in, and not have to spend time creating the loco on the that friend's MS2. Or, if I have more locos than my MS2 database will hold, and delete them from the MS2 entirely, when I get one out the card is a faster way to load it. As a result, the loco card never talks to the loco decoder or vice versa, it just creates the placeholder on the MS2/CS2/CS3 controller. When you set CV values via the decoder, these are written to the loco decoder itself.
This is one thing MFX/MFX+ aims to improve. We don't need to tell the controller the information about the locomotive, the locomotive tells the controller, "Hey, my name is BR78 034, I have 12 functions, these are the icons I use for them, etc".
-Brandon