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Strong Customer Authentication: what it is and how it works

Tout sur iStripper
30 March 2021, 18 réponses
Strong Customer Authentication (SCA) aims to make online payments more secure for users and reduce fraud. It is part of the Payment Service Directive (PSD2) as enforced by the Financial Conduct Authority.

Services that take payments from the EU, Norway, Iceland and Liechtenstein (otherwise known as the European Economic Area, EEA), had to meet SCA regulation by 31 December 2020. In late 2019 the European Banking Authority (EBA) announced a delay to the enforcement of Strong Customer Authentication (SCA) for online card transactions as required by PSD2 regulation.

By March 14 2020 VISA has been mandating that all issuers enable their 3DS2.1 solution in Europe, meaning that issuers will be in the position to request Strong Customer Authentication for all card-not-present payments. We are fully expecting the volume of card declines for non-3DS2 authenticated payments to increase significantly from that date, especially for merchants that issuers consider to be high risk, which is why VISA is strongly encouraging all merchants to adopt 3DS2 by this date.

Totem relies solely on third parties to bill their customers. For your safety, we don't store or process our customer credit cards, but rely on VISA / Mastercard certified third parties to do it. Each of them is rolling out the new SCA regulations at their own pace, so depending on the payment processor you use, you might or might not be asked for 3DS2 today or in the near future.