Card Verification Value (CVV)

Prevent chargebacks and fraud by implementing CVV.

In the age of online shopping, credit card brands have had to get serious about security. One solution they’ve rolled out is the CVV-–the Card Verification Value. You’ve probably used this feature as a customer yourself! This is a 3-digit number on the back of the card that is used to prevent fraud in the case of online orders (Note: American Express cards have a four-digit code on the front of the card instead). This code is entered onto the checkout page on the website and authorizes the transaction.

What Is CVV2?

CVV2 is just CVV, although is refers explicitly to the three digits on the back of the card which was developed for online usage of the card. The original CVV is encoded into the magnetic stripe. Similarly, Discover and American Express use the acronym CID –Card Identification Number, but the intent is the same as the CVV.  

How Does the CVV Protect Against Fraud?

When companies have their data compromised, customer card information can end up on the “Dark Web” where criminals can then buy the information. CVV offers an extra layer of security that is meant to protect against fraud where the card thief purchases the card number online, and because they are not in physical possession of the card and they cannot know the CVV number.

Bridging the Gap in Payment Processing Technology

Being an online merchant can be a careful balancing act. You want to deliver quality service to your customers, while maintaining security and a good cash flow. In theory, it doesn’t sound too bad, but if one small thing goes awry in the transaction chain, it can be difficult and costly to figure out what went wrong. This might shake customer faith in your business, present extra security concerns, and eat into profitability. If nothing else, having a long process between the time the customer puts their card info in to the transaction actually hitting your pockets is just tedious.

Read More »
Top Considerations for Running $1 Trial Offers

Offering $1 trial offers is a great way to acquire new customers and enable people to try your product or service at a discount. It’s a lucrative business model for subscription and continuity merchants who offer products and services at a recurring fee. While it has several financial benefits, this model also has some drawbacks.

Read More »
How to Choose the Right Nutraceutical Merchant Account

Finding the perfect payment processor shouldn’t be the most challenging part of starting a business. For those in the health supplement industry, however, it can often be an obstacle that they aren’t prepared for. In fact, when it comes to choosing the right nutraceutical merchant account, the expert advice available is limited – or even conflicting.

Read More »