Customers expect ease of transacting and robust security when shopping online or offline. We can choose from hundreds of payment options and a slew of credit and debit cards from different issuers. In fact, customers can now transact even if they are not carrying a card. You don’t even need to enter the CVV for certain transactions with saved cards on online platforms. For CVV-less transactions through a card-not-present (CNP) flow, users don’t need to enter a CVV to complete the transaction.

What is a card-not-present transaction vs a card-present transaction?

A CNP transaction occurs when a person completes a transaction remotely by entering their card details online. As opposed to that, a card-present transaction is when a person’s payment details are captured in person at the time of the sale. This occurs when a card is physically swiped, tapped, or inserted or if the EMV chip is processed at a POS terminal.

CVV-less transactions – The next step in seamless card-based transactions

The e-commerce market in India is growing at a dynamic pace and is estimated to reach $188 billion by 2025. Customers regularly shop at popular e-commerce platforms such as Amazon, Flipkart, Myntra, Nykaa, Meesho and many more. PayU’s data shows that almost 65% of customers save their card details on such platforms for easy future transactions. The payment processors and aggregators, like PayU, used by such platforms get network or issuer tokens corresponding to those cards as per RBI’s guidelines to maintain utmost security.

Here’s how the current flow of a saved card transaction goes:

  1. Customer logs in to their favourite shopping platform.
  2. They add desired items to the cart and proceed to checkout.
  3. At checkout, they select their saved card as the preferred payment mode.
  4. They enter the CVV and click on the ‘Pay’ button
  5. They enter the OTP received to complete the transaction.

In a seamless CVV-less transaction, you skip the fourth step, where you have to enter the CVV and directly move on to complete the transaction using an OTP. And what are the advantages here?

  1. Seamless checkout experiences
  2. Lower latency in card transactions
  3. Higher conversion in CNP transactions
  4. Network-compliant payment solutions

Why choose PayU for seamless CVV-less transactions on your platform

PayU offers this feature for saved card transactions from all major networks, such as Visa, Mastercard, Amex, and Rupay. We implement this feature modularly, allowing customization across networks and issuer banks. This leads to 2% higher conversions.

For instance, with a small configuration built into the payment solution, you can allow CVV-based transactions or vice versa for certain networks and issuing banks. This switch can be easily enabled or disabled in the blink of an eye.

Our intelligent routing lets us know which networks and issuing bank combinations still need CVV. You can use a simple API to pass on all the tokenized card details, and we will confirm the transactions that need CVV and those that don’t so you can customize the flow on your checkout page accordingly.

For more information related to CVV-less card transactions, please write to us at