"Card Not Present" (CNP) refers to a type of transaction where the payment card is not physically presented by the customer to the merchant. Common in e-commerce, phone orders, and recurring billing scenarios, CNP transactions require customers to manually input their card details, which are then transmitted and verified digitally. Since there is no physical card at the point of sale, CNP transactions are considered higher risk and are typically subject to stricter security protocols and higher processing fees than card-present transactions to compensate for the increased risk of fraud.
With the expansion of online shopping and digital payments, CNP transactions have become the dominant method for e-commerce, accounting for over 90% of all online purchases. However, the absence of a physical card increases the risk of fraud, with CNP fraud losses in the U.S. projected to reach $15 billion by 2025. Example: An online retailer reduced its CNP fraud rate by 40% after implementing multi-factor authentication and AVS (Address Verification System), highlighting the importance of security in CNP transactions. Insight: Studies show that CNP fraud is approximately four times more likely than card-present fraud, underscoring the need for advanced security tools like tokenization and real-time fraud monitoring.
Swipesum provides comprehensive CNP payment solutions designed to minimize fraud risk while delivering a seamless online payment experience. Our team helps implement advanced security measures, such as CVV checks, encryption, and fraud detection tools, ensuring that your business can accept CNP payments securely and efficiently. With Swipesum’s expertise, you’ll benefit from optimized transaction processing, reduced fraud exposure, and improved customer trust in digital payment environments.
