CVV1

Card Verification Value 1

A security feature embedded within the magnetic stripe of a credit or debit card. It differs from the more commonly known CVV2 (the three-digit code on the back of the card) because it’s not visible. Instead, it is encrypted and used for verifying card authenticity during in-person, card-present transactions, such as those made with a magnetic stripe reader at a point-of-sale terminal.

When a card is swiped, the terminal reads the CVV1 and sends it to the card issuer, checking whether it matches the encrypted value they have on file. This process helps prevent fraud by ensuring the card is genuine and hasn’t been altered or cloned. Since CVV1 data is stored in the magnetic stripe, it is susceptible to skimming if someone has unauthorized access to the card’s magnetic stripe. However, chip technology and tokenization advances have significantly reduced reliance on CVV1 for security.

• Abbreviation: CVV1