Buzz
When you receive a new credit card, the usual step is to update your automatic payment details. However, some services handle this update for you. But how do they obtain your new card information?
A redditor posed this exact question after failing to update their Netflix account, only to find that Netflix had already updated their payment details. This happens because some service providers participate in credit card Account Updater programs. Visa, MasterCard, and Discover all have these programs, and they send your updated card info to eligible merchants when your card is replaced. You can check out Visa’s program for more details.
Consumerist contacted Visa some time ago about this issue, raising concerns over security. Visa's reply was as follows:
Issuers determine when to share updated account info with merchants, either when the new card is activated by the cardholder or within two business days after the changes are made. Participants in the VAU program must also comply with specific qualification criteria, including Visa's data security standards. Additionally, transactions cannot be processed until the cardholder activates their new card.
It's something worth keeping in mind if you plan to use a different card before updating your payment information, or if you're simply curious about how Netflix knew your new card number without you having to update it.
Photo by Frankieleon
