How does a card-not-present payment work?
The customer types card details into a checkout, picks a saved card or pays with a wallet, and the merchant’s PSP sends the authorization to the issuer with the data it collected: card number, expiry, security code, often a billing address and, with 3-D Secure, device and transaction data for the issuer’s risk check. Card networks set different rules for these payments. Stripe’s documentation, for example, lists a 7-day authorization window for Mastercard card-not-present payments against 2 days for in-person ones.
Why does it matter?
Almost all e-commerce payments are card-not-present, so the fraud, dispute and authentication rules that apply to them shape approval rates and losses. As an illustrative example: a store takes 30,000 card payments a month and 0.3% turn into fraud disputes. That is 90 disputes, each costing the order value plus a fee, unless the payments were authenticated and covered by liability shift.
How do merchants reduce card-not-present risk?
By layering checks: 3-D Secure for authentication, the security code and address verification where issuers support them, velocity limits against card testing, fraud screening that scores each payment, and blocking cards linked to past fraud. Network tokens and wallets help because they replace the card number with a credential bound to one merchant or device.
Where does Omno use it?
Customers enter card details in Omno’s hosted checkout or in Card Fields on the merchant’s own checkout, so card data goes to Omno’s PCI DSS compliant environment rather than the merchant’s servers. 3-D Secure is performed by the connected PSP inside the same flow, card blocking stops cards linked to fraud before any provider sees them, and customer groups and customer verification levels keep riskier traffic on suitable providers.