CCV typically refers to Card Verification Value. This is a security feature for credit or debit cards providing a three- or four-digit number located on the card. As an example, on Visa, Mastercard, and Discover cards, it is a three-digit number printed on the back of the card, generally in the signature area. On American Express cards, it is a four-digit number printed on the front.
The importance of this code lies in its role in preventing fraudulent activities. It is designed to verify that the individual using the card possesses the physical card at the time of transaction. Its use reduces the likelihood of unauthorized card use in online or telephone purchases, as this number is not embossed on the card and, therefore, is less likely to be stored by merchants. The introduction of this security measure significantly improved transaction security for both consumers and merchants.
