CNP is an acronym for "Card Not Present" and refers to a type of transaction that occurs when a credit or debit card is used to make a purchase without the physical presence of the card. In a CNP transaction, the buyer typically provides the card information, including the card number, expiration date, and security code, either over the telephone, via mail order, or through an online platform.
CNP transactions are commonly used in e-commerce, where customers make purchases on websites, mobile applications, or through other electronic means without physically presenting their card to the merchant. This type of transaction poses certain risks, as the lack of physical verification makes it difficult to ascertain the authenticity of the card and the identity of the cardholder. Fraudulent activity, such as using stolen card details or making unauthorized online purchases, is a concern in CNP transactions.
To mitigate the risks associated with CNP transactions, various security measures are employed. These include implementing secure payment gateways, utilizing encryption technology to protect cardholder information during transmission, and adopting additional authentication methods like Verified by Visa or Mastercard SecureCode.
Overall, CNP transactions have become increasingly prevalent in today's digital world, enabling individuals to conveniently make purchases online. However, it is important for both merchants and consumers to exercise caution and utilize appropriate security measures to protect against potential fraud and safeguard sensitive card information.
