3-D Secure
3D Secure is a new technical standard developed by Visa and MasterCard to further secure CNP (Cardholder not present) transactions over the Internet.
Online purchases continue to grow at a higher rate than they do in the physical world. While there is no doubt that the number and value of internet transactions are increasing, it is also clear that concerns remain regarding the potential for fraudulent use of payment cards on the Internet. Consumers are increasingly seeking the convenience of online shopping but are demanding the same security protection that exists in the physical world.
How does 3-D Secure work?
Verified by Visa and MasterCard SecureCode - 3-D Secure - requires the cardholder to provide a personal password or pin number when paying for goods online with their credit card just as they would provide a pin on the high street. This ensures that the shopper is who they say they are when providing card details to an online shop. Cardholders can sign up to the service with their card provider at no cost and are reassured that their card is protected from fraudulent use on the internet.
3-D Secure enabled merchants immediately benefit from a chargeback liability shift on all qualifying transactions. This means that merchants are no longer liable for chargebacks where the cardholder claims fraud or non participation (including transactions where the cardholder is not yet enrolled for 3-D Secure).
If you're interested in discussing this further, please get in touch with us as we'd be happy to help out
- Published: 7 July 2007
