cardchecking

Card checking is a process used to verify the validity of payment card information, typically credit or debit cards, before a transaction is completed. This verification can occur at various points in the transaction lifecycle, from initial customer input to backend authorization.

The primary goal of card checking is to prevent fraudulent transactions. Systems perform checks such as matching the card number against known fraudulent lists, verifying the expiration date, and confirming that the card is still active and not reported lost or stolen. For online transactions, the Card Verification Value (CVV) or Card Security Code (CSC) is often used as an additional security measure, as it is not typically stored by merchants.

In some contexts, card checking might refer to the internal processes of a business to ensure that the payment card details they have on file are current, especially for recurring billing or subscription services. This helps reduce declined payments due to expired cards.

The implementation of card checking is a crucial component of payment processing security for merchants, financial institutions, and payment gateways. It helps mitigate financial losses associated with fraud and protects both consumers and businesses.