Credit Card Processing

CVV2, CID, CVC2... all of these are different names for the same thing: the security code on the back of Visa/MasterCard/Discover or on the front of American Express.

The security code does not directly affect your rate, but does help in charge-back situations because it does offer some amount of proof that the card-holder actually did use the card.

The security code indirectly impacts your rate because it will reduce the number of charge-backs, which makes your "record" look better when you go to get a better rate on your processing. Additionally, having less charge-backs will save you money because there are less chargebacks to lose, and there are less retrieval fees.