3D Secure 2: Five benefits of authentication - Part 2 of 2

3 – Liability shift

3DS is a cardholder authentication protocol backed by the major credit card scheme schemes. It helps card issuers confirm the identity of their cardholder, when they make an online purchase. 

If the shopper’s card is enrolled in a 3DS program, and the issuer has confirmed their identity, the liability for fraud-related chargebacks on that transaction shifts from you to the card issuer.

For 3DS2, the rules of liability have changed slightly, providing even greater benefits for merchants. If a merchant tries to authenticate a transaction, and the issuer does not take part in either 3DS1 or 3DS2 programs, then the liability still shifts to the issuer. 

Note: this increased protection is subject to regional scheme mandates, and is not available in every region. Contact your Worldpay account team to find out more.

For more information on liability shift, visit: https://www.worldpay.com/global/support/support-articles/what-liability-shift

4 - Integrated with the shopping experience

3DS2 has been designed to work regardless of how a shopper is interacting with your website. 
  • For browser-based flows, the challenge is embedded into your checkout pages through an optimized iFrame. 
  • For mobile transactions, Worldpay can provide iOS and Android SDKs that allow challenges to be embedded into your checkout flow, and automatically rendered for the device being used.

Through optimizing the 3DS experience and embedding it as part of the shopper journey, we’re able to reduce friction - leading to increased sales uplifts and more protection from fraud for you.

5 - Increased acceptance

Authenticating allows you to reduce the acceptance gap between Point of sale (POS) and Online/Customer not present (CNP) transactions. 

As issuers know more about authenticated transactions, using 3DS2 could help you see higher acceptance rates compared with non-authenticated transactions.

How Worldpay can help
We’ve released 3DS Flex, a new authentication platform that lets you to leverage these five benefits. We’re making it easy for you to navigate the complex regulations of PSD2, and other scheme and regional mandates.

3DS Flex offers a market-leading global 3DS solution, with a flexible approach. You can optimize your risk appetite and shopper experience, driving sales uplift while reducing fraud.

Get in touch with your Worldpay account team to find out more about 3DS Flex, and our complementary PSD2 solutions.

To learn more about 3DS Flex visit: https://www.worldpay.com/sites/default/files/3ds_flex_brochure_022019.pdf  

For more information on PSD2 visit: https://www.worldpay.com/global/psd2 

(1) Strong Customer Authentication (SCA) requires that businesses use two independent authentication elements to verify payments.

(2) PSD2 (Second EU Payments Service Directive) regulates payment services and payment service providers throughout the European Union (EU).

(3) European Banking Authority (EBA) is a regulatory agency of the European Union.

3D Secure 2: Five benefits of authentication - Part 1 of 2