ELi5: Why isn’t there more credit card fraud than I think when you give companies all card information?

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Such as I just gave a pizza place my name, card number, expiration, security code and zip. The same goes for countless other companies where I’ve done the same. What’s to stop employees from using this information to make fraudulent purchases? Or does it happen and just hasn’t happened to me yet?

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12 Answers

Anonymous 0 Comments

The pizza place probably isn’t collecting your credit card number. Unless your a large corporate entity, you use a third party to handle your credit card transactions.

Large corporations aren’t interested in engaging in small time credit card theft and credit card processing companies aren’t going to risk their entire business to engage in credit card theft.

Additionally, these companies don’t actually store your credit card info, they store a token that let’s them (and only them) process transactions on your credit card.

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