What is the Meaning of CVV

What is the meaning of CVV? It is an acronym for Card Verification Value. It is a short code that generally consists of three numbers. The companies that create bank cards like debit cards and credit cards provide a CVV for every card issued. This includes Visa, Mastercard and American Express, among others. You can generally find the CVV on the back of a card, although some bank cards may have the CVV on the front side. If you are making a transaction using your debit or credit card online, entering the CVV is mandatory to approve the payment or purchase.

CVV is an acronym that stands for Card Verification Value. It is a three-digit or a four-digit number that you can typically find on credit cards. The primary purpose of a CVV number is to protect the cardholder from fraudulent and unauthorised transactions. 

When you use your card to make payments, you may be asked to enter the CVV in addition to other details on the credit card. Unlike the other details on the card, the CVV is not stored anywhere. This makes it extremely hard for unscrupulous individuals from using your credit card to make unauthorised transactions in situations where the credit card is not physically present with them. 

This effectively means that even if an individual has access to your card’s details like your card number and its expiry date, unless they have the CVV, which is present only on the card, they will not be able to use it to make any payments whatsoever. 

A lot of people often get confused between a credit card number and CVV number. A credit card number is a 16-digit number located on the front of your credit card along with your name, card expiration date, and type (Visa/Mastercard). On the other hand, Visa card and MasterCard holders can find their CVV printed on the back of the card. The placement might be different for an American Express credit card, where the CVV would be a four-digit number located on the front side of the card.

Now that you know what is the meaning of CVV and where to locate it, let us understand what are the two primary components of a CVV:

• The first component is a small magnetic strip located at the top-side of your credit card. This magnetic strip contains digital data that is unique to the cardholder. When a credit card is swiped for making transactions, it is the data from this magnetic strip that gets stored.

• The second part of the CVV is a three-digit number mentioned below the magnetic strip. This number acts as a security pin while making mobile/online transactions.

• Protects Against Cyber Fraud

A credit card CVV number acts as a security feature and adds a layer of protection against cyber fraud when you use the card for purchases using the credit card payment as an online method. The card verification number is not a combination of random digits. Instead, it is a carefully generated number using a special, undisclosed, and precise algorithm. This makes the CVV number on the card both unique as well as safe.

• Keeps Your Money Safe

As the Payment Card Industry’s (PCI) security standards prohibit the storing of card verification value, it needs to be entered every time an online purchase is made. This allows your funds to remain safe from any suspicious activity.

• Protects From Hackers

As credit card numbers and CVV go hand in hand, hackers cannot use a credit card without a CVV code even if they get access to other information related to the credit card.

The CVV code verifies that the credit card was physically present with the cardholder while making the transaction. The code acts as a verification to process the payment. Online payment gateways can save details of your credit card such as the name or card number. However, as per the Payment Card Industry Data Security Standards (PCI DSS), they aren't allowed to store your CVV data. This feature protects your card against any credit card fraud as it is nearly impossible to carry out any online transactions without submitting your CVV number.

Upon entering the CVV, you receive an OTP on your registered mobile number. Thus, even if you misplace your ATM card and the CVV is entered, you will be informed of the initiated transaction via the OTP message.

Even in the case of offline or Point of Sale (POS) transactions, the CVV of a credit card cannot be copied or replicated, which means that you will remain protected from fraudulent or unauthorised transactions. 

That said, although the CVV is a good safety feature to have, it does not offer complete protection from fraud. Unscrupulous individuals may still be able to use your card to make unauthorised transactions at merchants and online websites that don’t require a CVV to authorise a transaction. 

CVV number is automatically generated by the credit card issuer. You need not follow a separate procedure to generate it for your card. Each new credit card is assigned a CVV by the issuer before dispatching it to the customer.

In order to protect yourself from any credit card fraud, you need to protect your CVV. Here are ways in which you can keep your credit card CVV number safe:

• Do not share your CVV or other credit card details with anyone

• Do not write down your credit card CVV number or store it in an online or desktop folder

• Do not leave your credit card unattended

• Use your credit card for purchases only on trusted websites that have https:// and SSL padlock

• Do not enter your credit card details on unknown or unprotected WiFi networks

• Install anti-virus software to scan your computer from any malware or threats

• Protect your devices with a password

• Do not share sensitive financial information over the phone

• Keep a tab on your credit card activity and look out for any unauthorised transactions on your credit card

• If you’re using a Wi-Fi network, use a strong password to protect it from getting hacked or accessed by unauthorised individuals 

• Use a VPN (Virtual Private Network) to connect to the internet if you’re using your computer while travelling