The complete guide to card-not-present transactions

Card-not-present fraud prevention typically combines better data signals, smart authentication strategies, and risk decisioning that’s tuned to your business. The goal is to block fraudulent attempts while minimizing false declines. The right technology partner can make an enormous difference in helping you increase conversions while fighting fraud at the same time. 

To secure CNP transactions, your main goal is to make sure the cardholder is in possession of the card being used during a transaction. You can do this through extra verification checks like address verification, security code verification, and expiration date verification. 

Additionally, new technology is making it easier to secure card-not-present transactions. You can use tools like tokenization, shopper recognition, and intelligent authentication to isolate risky transactions and apply friction to a checkout flow dynamically.

Card-not-present transactions are enabled by payment flows that accept card credentials without requiring the physical card to be presented (for example ecommerce checkout, in-app payments, and MOTO). Merchants typically use online payment integrations designed for these environments.