What is the meaning of CVC or CVV on payment cards

What is the meaning of CVC or CVV on payment cards?

For frequent online shoppers, the request for a three-digit code – the CVC – during payment validation is commonplace. But have you ever delved into the purpose and meaning behind the CVC on your payment card? If not, let’s uncover the details!

What Exactly is the CVC on Cards?

CVC, or card verification code, is a three-digit numerical security code printed on the back of credit, debit, and prepaid cards. While it’s typically located on the back for Mastercard and Visa, American Express places it on the front.

Primarily a security measure, the CVC verifies card authenticity in non-physical transactions, such as online purchases. Its purpose is to confirm the cardholder’s identity and prevent fraudulent transactions. Each card possesses its unique and non-transferable CVC or CVV.

Some financial institutions provide enhanced security with options like dynamic CVC, randomly generated for each transaction. This approach safeguards the physical card’s CVC from exposure.

CVC Types on Credit Cards

Did you realize that credit or debit cards come equipped with more than one CVC or CVV? The type you use depends on the nature of the transaction.

Here are the two CVC variations:

• CVC Type 1: Located on the magnetic stripe, this CVC is employed for physical transactions, like in-store payments using a POS. In such cases, providing the CVC isn’t necessary, as the POS terminal reads it from the magnetic stripe. Typically, the CVC corresponds to the last four digits of the card number.
• CVC Type 2: This CVC is generated randomly by an algorithm and is printed on the back of the card for online purchases. It’s a three-digit code designed to verify card ownership in virtual transactions.

Additionally, the CVC goes by other names based on the card type:

• CSC: for Mastercard debit cards.
• CVC2: for Visa cards.
• CID: for American Express cards.

How does CVC Impact Card Security?

As previously explained, the CVC serves as a security measure to authenticate credit or debit cards in online transactions, thwarting fraud attempts.

To employ the card’s CVC, simply follow these steps:

1. Proceed to the payment section of your online checkout process.
2. Enter the card number and expiration date.
3. Provide the CVC in the dedicated window.

After completing the transaction, additional authorization may be required through a text message or your banking mobile app.

Recovering the CVC

If your card is lost or stolen, or the CVC has worn off, recovery is not possible as the CVC is a unique and non-retrievable code. In such cases, you can obtain a duplicate card with a new CVC by requesting one from your bank.

What if a Card Lacks a CVC?

Every credit, debit, and prepaid card is equipped with a CVC, though wear and tear on the card can sometimes make it unreadable.

If you encounter this issue, reach out to your banking provider to request a new card, ensuring that your CVC can be easily read.