diff --git a/.changeset/spicy-mayflies-give.md b/.changeset/spicy-mayflies-give.md
new file mode 100644
index 000000000..354f309c4
--- /dev/null
+++ b/.changeset/spicy-mayflies-give.md
@@ -0,0 +1,7 @@
+---
+"@evervault/card-validator": minor
+"@evervault/ui-components": patch
+---
+
+- Adds `reason` to CVC validation failures
+- Fixes bug where failed card validation forces a failed CVC validation
diff --git a/packages/card-validator/index.ts b/packages/card-validator/index.ts
index db6f9e767..9c238e9f9 100644
--- a/packages/card-validator/index.ts
+++ b/packages/card-validator/index.ts
@@ -114,12 +114,13 @@ export function validateCVC(
     return {
       cvc: null,
       isValid: false,
+      reason: "invalid_cvc",
     };
   }
 
   if (!cardNumber) {
     return {
-      cvc: cvc,
+      cvc,
       isValid: true,
     };
   }
@@ -129,6 +130,7 @@ export function validateCVC(
     return {
       cvc: null,
       isValid: false,
+      reason: "invalid_number",
     };
   }
 
@@ -146,9 +148,17 @@ export function validateCVC(
       return brand.securityCodeValidationRules.lengths.includes(cvc.length);
     });
 
+  if (!isCVCValid) {
+    return {
+      cvc: null,
+      isValid: false,
+      reason: "invalid_brand_cvc",
+    };
+  }
+
   return {
-    cvc: isCVCValid ? cvc : null,
-    isValid: isCVCValid,
+    cvc,
+    isValid: true,
   };
 }
 
diff --git a/packages/card-validator/test/validate-cvc.test.ts b/packages/card-validator/test/validate-cvc.test.ts
index 584cb702b..6db2b4084 100644
--- a/packages/card-validator/test/validate-cvc.test.ts
+++ b/packages/card-validator/test/validate-cvc.test.ts
@@ -14,31 +14,31 @@ const testCases: TestCase[] = [
     scope: "Invalid card number",
     cardNumber: "123",
     cvc: "123",
-    expectedResult: { cvc: null, isValid: false },
+    expectedResult: { cvc: null, isValid: false, reason: "invalid_number" },
   },
   {
     scope: "Non digit CVC",
     cardNumber: "4242424242424242",
     cvc: "abc",
-    expectedResult: { cvc: null, isValid: false },
+    expectedResult: { cvc: null, isValid: false, reason: "invalid_cvc" },
   },
   {
     scope: "CVC with spaces",
     cardNumber: "4242424242424242",
     cvc: "123  ",
-    expectedResult: { cvc: null, isValid: false },
+    expectedResult: { cvc: null, isValid: false, reason: "invalid_cvc" },
   },
   {
     scope: "CVC with wrong length mastercard",
     cardNumber: "5555555555554444",
     cvc: "1234",
-    expectedResult: { cvc: null, isValid: false },
+    expectedResult: { cvc: null, isValid: false, reason: "invalid_brand_cvc" },
   },
   {
     scope: "CVC with wrong length amex",
     cardNumber: "378282246310005",
     cvc: "12",
-    expectedResult: { cvc: null, isValid: false },
+    expectedResult: { cvc: null, isValid: false, reason: "invalid_cvc" },
   },
   {
     scope: "Valid CVC Mastercard",
@@ -86,13 +86,13 @@ const testCases: TestCase[] = [
     scope: "2 digit CVC",
     cardNumber: "",
     cvc: "12",
-    expectedResult: { cvc: null, isValid: false },
+    expectedResult: { cvc: null, isValid: false, reason: "invalid_cvc" },
   },
   {
     scope: "5 digit CVC",
     cardNumber: "",
     cvc: "12345",
-    expectedResult: { cvc: null, isValid: false },
+    expectedResult: { cvc: null, isValid: false, reason: "invalid_cvc" },
   },
 ];
 
diff --git a/packages/card-validator/types.ts b/packages/card-validator/types.ts
index 946189672..e239989fe 100644
--- a/packages/card-validator/types.ts
+++ b/packages/card-validator/types.ts
@@ -35,7 +35,13 @@ export type CardExpiryValidationResult = {
   isValid: boolean;
 };
 
-export type CardCVCValidationResult = {
-  cvc: string | null;
-  isValid: boolean;
-};
+export type CardCVCValidationResult =
+  | {
+      cvc: string;
+      isValid: true;
+    }
+  | {
+      cvc: null;
+      isValid: false;
+      reason: "invalid_cvc" | "invalid_number" | "invalid_brand_cvc";
+    };
diff --git a/packages/ui-components/src/Card/index.tsx b/packages/ui-components/src/Card/index.tsx
index afc1ada8f..b25e5684a 100644
--- a/packages/ui-components/src/Card/index.tsx
+++ b/packages/ui-components/src/Card/index.tsx
@@ -106,8 +106,15 @@ export function Card({ config }: { config: CardConfig }) {
 
         const cardValidation = validateNumber(values.number);
         const cvcValidation = validateCVC(values.cvc, values.number);
-
         if (!cvcValidation.isValid) {
+          // Skip CVC validation if failed because of invalid card number
+          if (
+            cvcValidation.reason === "invalid_number" &&
+            !cardValidation.isValid
+          ) {
+            return undefined;
+          }
+
           return "invalid";
         }