3D Secure
3D Secure is the payments industry standard for authentication of internet/eCommerce purchases
- Visa calls their version ‘Verified by Visa’.
- Mastercard calls their version ‘Mastercard SecureCode’.
Known as 3D Secure, these programs are designed to ensure the very best security for cardholders when they pay online.
PSD2 now requires the card issuer to register their customer’s card for 3D Secure once the card is issued to the customer.
We support both Verified by Visa and Mastercard SecureCode. As per PSD2 guidelines, 3D Secure is the only way to successfully complete a Secure Customer Authentication and as such failure to complete this for Customer initiated transactions will result in declined transactions. It is mandated that AIBMS customers comply with the regulations and implement 3D Secure if they wish to receive a successful authorisation.
The details the issuing bank provide will be used to authenticate any future purchase from any enrolled member merchant. Cardholders are strongly encouraged by card issuers to deal online only with 3D Secure registered merchants.
If you wish to utilise 3D Secure transactions, you can obtain a merchant plug-in product suitable for use with your PSP which will support 3D. This will support the requirements of both Mastercard (through their SecureCode product) and Visa (through their Verified by Visa product).
Liability shift
If you are a merchant offering 3D secure, you are protected from liability for fraud (for most card types – refer to your PSP for more details) whether or not the cardholder opts to do 3D secure transaction.
This doesn’t stop the issuers reporting fraud however, and if your fraud levels are deemed to be excessive by the card schemes, they can place you in a chargeback window, which means you are no longer protected from liability for fraud, despite still being 3D secure enabled. This loss of benefit remains in place until either your fraud levels decrease to an acceptable level or until your merchant account is cancelled.