A current in plane giant magnetoresistive (GMR) sensor having a hard bias layer that extends along the back edge (strip height) of the sensor rather than from the sides of the sensor. The hard bias layer preferably extends beyond the track width of the sensor. Electrically conductive leads, which may be a highly conductive material such as Cu, Rh or Au, or may be an electrically conductive magnetic material extend from the sides of the sensor stack. The bias layer is separated from the sensor stack and from the leads by thin layer of electrically conductive material, thereby preventing current shunting through the hard bias layer.