They do sometimes require an additional authentication step, commonly known as 3D Secure (Visa Secure / Mastercard Identity Check), where the customer is redirected to another page, and the bank asks for a code or password to authenticate the actual payment, but this extra step can add … To comply with new requirements and make sure your sales don’t take an unnecessary hit, you need to … How will that work in practice? The SCA comes with two forms of authentication which should be provided by the customer for the payment to be validated by the issuing banks. In short, to make sure that the person using a credit card to purchase something online is actually the card’s owner. As it currently stands, most existing (none SCA ready) payment processes are quite simple, and either fail or succeed. This follows the age old security best practice of requiring:Now when a payment is processed, banks will have the ability to request additional authentication from the customer, but following the new 3D Secure 2 implementation. This can all be handled in a single page load, with multiple authentication processing requests, before a bank decides whether to approve or reject the payment.Businesses that are not prepared for these new regulations could see conversion rates drop significantly.Earlier this year our design team made the switch to Figma.
The payments industry has been aware of the Revised Payment Service Directive (PSD2) and SCA for some time. Strong Customer Authentication (SCA)* is a regulation that took effect on September 14, 2019 that requires merchants to use multiple methods of verifying a customer’s identity. Stripe Radar uses powerful machine learning to reduce fraud rates across the Stripe network, helping your business access exemptions for low-risk transactions. When merchants are using the 2Checkout-hosted ordering engines, the customers and shoppers are automatically directed from website to 2Checkout … A more optimised flow for customers, but with additional fraud protection and improved security!These new regulations are designed to help reduce fraud and make online payments more secure in general. Checkout dynamically detects when SCA is needed and offers in-checkout verification using 3D Secure 2.Explore our directory of verified, prebuilt solutions, and certified developers and agencies to meet the new requirements. Essentially the new standard is win, win. Businesses that store cards to charge them later, when customers aren’t in the checkout flow, may need to get some customers back online to authenticate purchases.Authenticate to complete this paymentGet started quickly and easily with the new Stripe Checkout—a smart payment page that lets you create an end-to-end, conversion-optimized checkout flow, with just a few lines of code. Stripe’s SCA-ready solutions help you build payment flows that adapt to SCA requirements and any relevant exemptions, protecting your conversion rate. Online Shopping Will Never Be the Same, Are Your Customers Ready for SCA? SCA is just a fancy acronym for saying that additional steps will be added to a site’s checkout flow in order to prevent online fraud from happening. And when customers do need to authenticate, Stripe helps you reduce friction with in … Stripe can help you meet these new requirements while optimizing conversion.Watch our Webinar to learn more about how SCA may impact checkout flows and see a product demo.Start integrating Stripe’s products and toolsYour customer fills in their card details and completes the checkout form to initiate the payment.Once a customer’s identity has been confirmed through 3D Secure, the card can be charged.Approve this payment through your banking appMany businesses can easily incorporate this dynamic authentication step into existing checkout flows. Here’s a recap of the regulation and how we can get you SCA-ready with our 3DS2 hosted solution. For businesses accepting recurring payments, Stripe Billing identifies which subscription charges require authentication and can even trigger an email to a subscriber when additional authentication is needed.PSD2 regulation requires Strong Customer Authentication (SCA) for many online payments.