Inside the Black Hole

Every valid bank card features a number of security elements that are designed to enable merchants to verify the card’s authenticity. Everyone who accepts card payments in a face-to-face environment should educate themselves on where these features are located and how they should look.

If your organization is a larger one, the management should develop a procedure for verifying cards and train the sales staff on implementing it in every transaction. The process should only take a few seconds and there is no reason not to take advantage of these security features while waiting for an authorization response.

Card Security Features

The following card security elements should be checked in a face-to-face transaction:

• Signature panel. The signature panel is located on the back of the card and contain an element that repeats the name of the card brand (MasterCard, Visa, Discover, etc.). The panel may look differently and can vary in length. The words “Authorized Signature” and “Not Valid Unless Signed” must be printed above, below, or to the side of the signature panel. If someone tries to erase the signature panel, the word “VOID” will appear.
• Magnetic stripe. This is where the account information is stored. Encoded in the magnetic stripe is a unique three-digit code used to detect counterfeit cards. This code is different from the card security code.
• Card security code. The card security code (CVV2, CVC 2 or CID, depending on the brand) is a three-digit number that is located either in a white box to the right of the signature panel, or in a white box within the signature panel. Portions of the account number may also be present on the signature panel of all valid Visa, Discover and MasterCard cards. The security code is a four-digit number located on the front of American Express cards. The security codes are used in non-face-to-face transactions to verify that the cardholder is in possession of the card, but you should check and verify that the number is present on the card.
• Hologram. The card brands use unique three-dimensional holograms that can be placed on the back or front of the cards. Visa uses a dove hologram, MasterCard – a world map, Discover – a globe. Some AmEx cards have a hologram of the American Express image that is embedded into the magnetic stripe. On others there is phosphorescence in the Centurion portrait and words “AMEX” should be visible under UV light.
• Brand mark. The Visa and MasterCard brand logos must appear in the bottom right, top left, or top right corner. The Discover and American Express logos are typically centered at the top of the cards.
• Account number. The account numbers of all Visa, MasterCard and Discover cards are comprised of 16 digits and for American Express the number is made up of 15 digits. All digits must appear even, straight, and the same size. The first digit of each card number identifies its type. Listed below are the first digits that the major U.S. card brands use in their account numbers.
  
  

  Card Type	First Digit of Account Number
  American Express	3
  Visa	4
  MasterCard	5
  Discover	6




• Bank Identification Number (BIN) (only for Visa and MasterCard cards). These are four-digit numbers that are printed below the account number. This BIN must be identical with the first four digits of the account number.
• Expiration date. The expiration date should be located below the account number on all cards.
• Cardholder name. The cardholder name is usually located in the bottom left corner of cards of all brands, however the field may be blank on some cards.

There are also some brand-specific card security features. For example, Visa uses an ultraviolet “V” in its brand mark. American Express and Discover use a “member since” date, in addition to the expiration date. Discover also uses a stylized “D,” placed in-between the “member since” and expiration dates.

If any of these card security features are absent or look altered, keep the card in your possession and make a Code 10 call to your processor’s authorization center for instructions on how to proceed with the transaction.

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