According to the press release, with the widespread implementation of EMV in the US, fraudsters have shifted their focus to CNP fraud, highlighting static card security codes as a critical weakness. Accordingly, the white paper discusses the benefits of dynamic security codes for issuers, merchants, and cardholders, and the implementation impact on payments stakeholders.
For many online transactions, merchants require the user to enter the security code printed on the card to validate that the card is in the possession of the cardholder. These static security codes, if stolen, present a vulnerability that can lead to CNP fraud and a loss of revenue for merchants and issuers.
Therefore, cards with a dynamic security code present a possible defense against CNP fraud by having a display and generating a frequently changing code. This hinders the ability of a fraudster using a duplicate card or stolen card data.
Every day we send out a free e-mail with the most important headlines of the last 24 hours.
Subscribe now
We welcome comments that add value to the discussion. We attempt to block comments that use offensive language or appear to be spam, and our editors frequently review the comments to ensure they are appropriate. If you see a comment that you believe is inappropriate to the discussion, you can bring it to our attention by using the report abuse links. As the comments are written and submitted by visitors of the Telecompaper website, they in no way represent the opinion of Telecompaper.