Société Générale and Groupe BPCE to release a changing CVV to protect your card from fraud
Motion Code technology replaces the 3-digit security code on the back of your card with a changing screen, powered by an ultra-thin lithium battery. The code changes roughly once an hour, adding an extra layer of security for card-not-present transactions, such as online purchases. In other words, something akin to a one-time passcode is created automatically and periodically, on the card itself.
Image: The Memo
Unless you are a customer that has memorised all your card codes, the user experience is the same – it even looks the same. It’s convenient, as the battery lasts for three years. Simply check the code at the time of making the purchase, it will be authenticated as normal, but will not be reusable. Basically, if your card details are copied, the code rapidly becomes useless.
Not only does it change nothing for the customer and the retailer, the issuer doesn’t have much to do either. Oberthur’s President Martin Ferenczi told PYMNTS.com last year that they ‘offer both the card with a changing code as well as a server solution to the issuer or processor so that when they receive a request for acceptance of a code, they can link it to a specific card.’
Oberthur also claims that people are so taken with the innovation that (online) spending should increase amongst these cardholders, who will feel more secure making card-not-present transactions.
The problem of card-not-present fraud, and insecurity around this issues, is becoming a bigger issue with the EMV liability shift in the US and other countries.