Data that is encrypted and safeguarded is less likely to fall into the wrong hands.
In a card-not-present transaction, the card used for payment does not come in contact with the payment terminal, and is not physically presented to the merchant at checkout. Payments made remotely, such as those made when online shopping, or when using an online payment system, are also included in this category. In these instances, the payment card has not been swiped, inserted, or tapped into a card reader.
Naturally, without seeing or checking the card, business owners are vulnerable to credit card fraud. Card-not-present fraud happens when an impostor uses another person’s compromised card information to make a purchase remotely.
By ensuring PCI compliance, encrypting sensitive data, and asking for extra authentication, cardholder data will remain protected.