Mail Order/Telephone Order (MOTO)
It is an order when the payment information is provided to the trader by an email or phone. These kinds of orders are commonly conducted with the help of the telephone, computer network or an email to give the details of the payment. MOTO has a higher tendency of a fraud than a common transaction with a card. Because of this, traders will probably pay some additional fees to provide extra security for their clients in order to escape a possible refund or chargeback.
This type of order is also defined as a “card not present” and now is widely applied not only for the order using a phone or email but also for order conducted over the Internet. It enables the customer to start the transaction just by operating a function key from the payment screen.
MOTO is considered one of the easiest and most popular transactions as the client’s presence is not obligatory. When the trader receives the personal details from the cardholder, later on, the data will be sent for an authentication check in order to avoid the fraud. Nevertheless, if the card gets approval, the money will be transferred. Such orders have many benefits both for merchants and for consumers as they allow making purchases anywhere and anytime in various ways.