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Since the CVV2 is not contained on the magnetic stripe of the card, it is not typically included in the transaction when the card is used face to face at a merchant. However, some merchants have begun requiring the code for use of [[American Express]] cards, such as [[Sears]] and [[Staples]]. This provides a level of protection to the cardholder, in that a corrupt merchant cannot simply capture the magnetic stripe details of a card and use them later for "card not present" purchases over the phone, mail order or Internet. To do this, a merchant would also have to note the CVV2 visually and record it, which is more likely to arouse the cardholder's suspicion.
Online merchants who require the CVV2 in their transactions are forbidden{{cite needed}} from storing these details once the transaction is complete. This way, if a database of transactions is [[compromise#Security|compromised]], the CVV2 is not included, and the stolen credit card numbers are less useful.
==Limitations==
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