The saved credit card method will allow you to accept credit card information for purchase, but Magento will not attempt to verify its accuracy other than the luhn simple checksum. Credit card information will be stored in a database encrypted using a call
Mage::helper('core')->encrypt($data)
In the default 1.4.2 installation, you can view the payment information (including credit card) with the following SQL query
SELECT * FROM sales_flat_order_payment
You can view this payment method in
System -> Config -> Payment Methods -> Saved CC
You can also set the value “on” to “No”, which will remove this as a parameter.
Complete protection of credit card information is Hard Thing ™, both technically and bureaucratically. If you and your team do not have experience for this (which, based on your question, I'm going to assume that it is not), you do not want this option to be turned on.
Alan storm
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