Online transactions are a convenient payment option for many. But given the advent of cybercrime, there have been many cases of credit card fraud. Fraudsters misuse your card details to make transactions which could lead to your loss.
There are many ways of protecting yourself against such fraud. Credit cards are designed to protect you from such fraud and one of the elements that do this best is CVV. Know how your credit card CVV can save you from online fraud.
What is CVV in a credit card?
The full form of CVV is card verification value. Its basic function is to complete transactions through the card. And during the transaction, it protects you from fraudulent activities.
Any financial institution that issues a credit or debit card ensures that every card has a unique CVV code. And when the user makes a transaction through their card, they’ll need the CVV number to complete the transaction. The fundamental idea of a CVV is to ensure that the credit card is physically present with the user during the transaction.
It should not be confused with the PIN or a different value. CVV number is present on the back of your credit card, on the magnetic strip.
How Does CVV Prevent Fraud
Credit card fraud usually happens during online transactions through virtual payment gateways. Most of these payment gateways save your card information for payments and this often leads to fraudulent transactions. Thanks to CVV, these frauds are avoided because any online payment gateway is not allowed to save your CVV number. It is due to the Per Payment Card Industry Data Security Standards. Even if all your card details are on the online portal, your CVV is still secure. Because of this, no one can misuse your card information. So no transaction can happen without the CVV number, which is safe for you.
Even if the system gets hacked and your card details leak, no one can make any transactions as your CVV is with you.
Can I still be a victim of credit card fraud?
The only way you will be a victim of credit card fraud is when your entire credit card gets duplicated along with the magnetic strip. In such cases, the fraudster will get access to your CVV number. So they’ll easily make transactions using the advantages of credit card.
Thus, you should ensure that you safeguard your credit card and don’t lose it.
How to Protect Yourself from Credit Card Fraud?
Individuals need to make an extra effort to protect themselves from being victims of credit card fraud. Such fraud happens through theft, counterfeiting, account takeover or phishing scams. Knowledge of these will help you stay vigilant.
Protect the credit card
The most basic vigilance step is often the one that is neglected by most. There have been many cases of people misplacing their credit cards and losing them. You should ensure that your credit card is in a place that is only accessible to you. You should be alert enough to notice anyone taking pictures of your credit cards. In such cases, they will get access to your card information, including CVV, and can misuse it.
Vigilance Against Phishing Scams
There are many scammers across the world involved in phishing scams. Understand that no bank or authority will ever ask for sensitive information like credit card numbers or CVV from you. Stay vigilant against such phishing calls or emails to protect yourself.
You may find many cases of people falling victim to scammers who pose as new service providers or some business professional to take card details. Knowing about such incidents will help you stay careful and protected from scammers. You should share this information with your partner and family to ensure no one falls prey to such scams.
Report Lost Card
If you ever lose your bank credit card, your first instinct should be to report this to your respective service provider. Call them immediately on their contact number and report the lost card.
The sooner you report your lost card, the better will be the chances of preventing fraud. Keep the contact details of your service provider saved in your phone at all times to safeguard against such misfortune. With prompt reporting, you can always prevent fraud.
Review Credit Card Statements
You should consistently review your billing statement to stay in touch with your transactions. It helps you recognize unauthorized payments made through your card. If you notice any such activity, you should immediately report them to the respective authority. The sooner you do this, the better your chances of recovering your money.