CVV

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What Is Card Verification Value (CVV)?

A CVV (Card Verification Value) code is a three or four-digit code on a credit card that helps prevent fraudulent transactions.

CVV Explained

CVV codes are printed on all major credit cards.

While they’re commonly called CVV, or Card Verification Value codes, there are several acronyms for this number. Others include CVV2, CVC (Card Verification Code), CSC (Card Security Code), and CID (Card Identification).

Different card brands use different acronyms, but they all refer to the same thing. You also might hear this code referred to as a validation code.

On Visa, Mastercard, and Discover cards, the code is three digits long. It appears on the back of each card next to the signature line. For American Express cards, the code is four digits long. It’s printed on the front of the card, above the last four digits of the card number.

CVV codes are used for card-not-present transactions. These transactions include phone and online orders. The purpose of CVV codes is to prove that the actual cardholder is the one making the purchase.

According to PCI (Payment Card Industry) regulations, CVV codes should not be stored in any file, database, or anywhere else. The only place the code should appear is on the card itself. In theory, this means that the only way someone would have the code is by possessing the card itself.

In practice, some merchants store customers’ CVV codes even after a sale is complete. Still, these codes provide an added layer of protection against fraud.

Any extra protection is crucial. In 2020 in the U.S., there were 393,207 reported cases of identity theft relating to stolen credit card information.

When criminals access credit card data, they might have customers’ names, addresses, and card numbers. If they don’t have CVV numbers, however, they won’t be able to use the stolen information to make purchases on many sites.

If you’re a merchant who accepts card-not-present purchases, it’s important to verify CVV. Work with your processor to ensure you’re set up with this security feature.

You can also ask about other fraud protection tools such as Visa Secure and Mastercard Identity Check.

CVV Examples

If you have a Visa, Mastercard, or Discover card, take a look at the back of it now. Do you see the three-digit code to the right of your signature line? That’s your CVV.

Have an American Express card? Look at the front of the card, slightly above and to the right of the card number (if there is one). The small, four-digit code there is your CVV.

When you make a purchase online, many websites’ checkout pages will have a field labeled Security Code. That’s where you enter your card’s CVV.

If you enter your code incorrectly, the website declines your transaction. This might seem like a hassle if you have your card and made a minor typo. But by declining the sale, the site is protecting both you and the merchant from fraud.

As a business owner, you may occasionally see declined transactions due to incorrect CVVs. The specific decline code can vary but may read “Invalid CVV.”

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