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To address the added risk, Visa has implemented
the Secure e-Commerce Initiative.
This initiative is focused on increasing e-commerce
transactions, promoting consumer confidence,
and increasing Member and merchant profitability
This page provides an introduction to 3-Domain
Secure (3-D Secure™), a key component of
the Visa Authenticated Payment Program. It is
recommended that all members and merchants read
this section and download the guide at the bottom
of this page. |
Please click the links below for more information
What is it?
The 3-D Secure™ protocol was developed by Visa
to improve the security of Internet payments. The protocol
is offered with the service name Verified by Visa. MasterCard
has also adapted a similar protocol called MasterCard
SecureCode. Both are designed to allow authentication
of cardholders by their Issuers at participating merchants.
The objective is to benefit all participants by providing
Issuers the ability to fully authenticate cardholders
through the use of a password during Internet purchases,
reducing the likelihood of fraudulent usage of Visa
and MasterCard credit cards and improving overall transaction
performance
What does 3D secure stand for?
3D Secure stands for 3 Domain Secure. The three parties
involved in the 3D Secure process are the following:
1) The Vendor
2) The Acquiring Bank
3) Visa and MasterCard
Please note that 3D secure does not totally eliminate
fraud or chargebacks, therefore merchants should continue
to use their anti-fraud systems and security measures
Benefits of 3-D Secure
The combined effect of ease and flexibility of implementation,
secure transmission of account information, and reduced
disputes offers the following benefits for all parties
involved:
- Increased consumer confidence,
leading to increased sales
- Increased card acceptance
through better merchant confidence in accepting international
transactions
- Reduced cardholder disputes,
exception handling, retrievals, chargebacks, re-presentments,
write-offs, and associated handling costs
Benefits for Members
The primary benefit of 3-D Secure for Members is the
reduction in disputed transactions and the resultant
exception handling expense and losses. It is expected
that nearly 80% of all e-commerce chargebacks and fraud,
and a substantial proportion of customer complaints,
could be eliminated with the use of Authenticated Payment.
This will have a positive impact on Member profitability.
A less tangible, but nevertheless real, benefit is
the assurance Members can provide to their cardholders
who are considering e-commerce transactions. Studies
indicate that as many as a third of cardholders are
afraid to shop online due to security concerns. Authenticated
Payment may convince prospective ecommerce shoppers
that it is safe to use their card online. Another benefit
of 3-D Secure is the potential to leverage the infrastructure
to support other financial and non-financial applications.
Benefits for Cardholder
- Increased consumer confidence
when purchasing on the Internet
- No special application software
is needed at the cardholder access device (unless
cardholder uses chip card)
- Easy to use
- Control over card use for
online purchases
Benefits for Merchants
Ease of integration into merchant legacy systems
- Minimal impact on merchant’s
interaction with consumer
- Increased sales by enhancing
consumer confidence in online purchasing
- Reduced risk of fraudulent
transactions
- Decrease in disputed transactions
Do I need to do anything?
With the Optimal, Optimal Plus One
and World accounts you do not need
to do anything, 3D secure is available with all of our
accounts and no extra development work is required on
your site as the process is identical to our standard
online payment process, with the exception that we will
automatically detect if the cardholder has enrolled
to the 3-D secure scheme and will prompt for additional
card details.
With regards to the Premier Account
you need to have your own MPI (Message Passing Interface).
It’s also possible to use the MPI of a third party
provider. However a monthly fee will be charged by this
provider. If you want to use a third party MPI then
it will need to be integrated with the acquirer B+S
(www.bs-card-service.com). The MPI provider or yourself
(if you use your own MPI) will submit to VISA and MasterCard.
We will let the acquirer know that you want to use 3D
Secure.
Can I download a guide?
Want to learn much more about 3-D Secure™ and
its benefits?
Click
here to download our introduction guide
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