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What is the Verification Code required with credit card registrations? Why do you ask for it?

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What is the Verification Code required with credit card registrations? Why do you ask for it?

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The banking industry recently began implementation of a new fraud prevention tool – referred to as a credit card verification value (CVV) or code. The verification code (also called a card security code) is a 3 or 4 digit number printed on the signature strip of a credit card. (American Express will be using a four-digit number on the front of their cards). These digits will help banks and merchants identify counterfeit credit cards and help protect you against credit card fraud. If you are not sure what your verification code is, contact your credit card company.

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