Offline Enciphered

Offline Enciphered is a Cardholder Verification Method (CVM) used in certain types of debit or credit card transactions. In this method, the cardholder's Personal Identification Number (PIN) is encrypted directly by the card terminal before it is sent to the card for verification. This process enhances security by ensuring that the PIN is not exposed in plain text at any point during the verification process, thereby reducing the risk of interception or fraudulent use.

Terminals that support the Offline Enciphered method are required also to support the less secure Offline Plain-Text PIN method. This requirement ensures compatibility with a wider range of cards, particularly those that may not have the capability to handle encrypted data. In the Offline Plain-Text PIN method, the entered PIN is sent to the card without encryption, which while less secure, provides a necessary fallback option for situations where encryption may not be supported by the card.

Offline Enciphered verification is particularly useful in environments where network connectivity is unreliable or where transactions need to be processed quickly without waiting for online verification. By using encryption, this method strikes a balance between operational efficiency and security, making it suitable for a variety of point-of-sale scenarios.