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The Step By Step Guide to Card-Not-Present Transactions!

Card-Not-Present (CNP) transactions are becoming increasingly popular for both consumers and merchants alike. With the ability to purchase goods or services without presenting a physical card, CNP transactions provide a secure and convenient payment method.
 
To ensure that your CNP transaction is secure and successful, here’s a step-by-step guide:
 

  1. Merchant Identification – the merchant must be identified by their unique identifying number, such as a Merchant ID or an Acquirer Processing Code (APC). This number is required to initiate a CNP transaction and should correspond with the payment processor’s records.

 

  1. Cardholder Verification – In order to prevent fraud, the cardholder must be verified by providing a valid form of identification. This can include a driver’s license, government-issued ID, or social security number.

 

  1. CVV Input – The Card Verification Value (CVV) is the three digit code on the back of the physical card and is required for a CNP transaction. The CVV provides an additional layer of security and ensures that the person making the purchase has physical access to the card.

 

  1. BIN Validation – Bank Identification Number (BIN) validation is an important step in any CNP transaction. It confirms that the card belongs to a legitimate issuer and verifies its authenticity.

 

  1. Authorization Request – Once all the information is collected, an authorization request is sent to the payment processor. The payment processor will then check the data against their records to confirm that the cardholder has sufficient funds for the transaction and that all security measures have been met. If approved, the customer will receive an authorization code.

 

  1. Completion – After the transaction is approved, the merchant will receive a confirmation of the payment and can complete the purchase. For added security, merchants should always check that the authorization code matches what was received from the payment processor before completing any CNP transactions.

 
By following these steps, you can make sure that your CNP transactions are secure, successful and efficient. With the right steps in place, you can provide your customers with a safe and convenient payment solution.