3D Secure 2.0: Risk-based Authentication & Enhanced Data - Issuers
Three-Domain (3-D) Secure is a messaging protocol that gives merchants and issuers a way to authenticate cardholders for e-commerce transactions prior to authorization. Visa developed 3-D Secure approximately 17 years ago and licensed it to all brands.
EMVCo, in collaboration with Visa and other industry members, updated the standard, and it is referred to as 3-D Secure 2.0 (3DS 2.0). The updated protocol is designed to address industry concerns over user friction and online shopping cart abandonment associated with the previous protocol.
In addition, the new protocol promotes greater data exchange between stakeholders to collaboratively manage fraud and maximize authenticated transactions. 3DS 2.0 open additional data fields to enable enhanced risk-based authentication.
Risk-based authentication is a data-driven authentication method where information about each transaction is evaluated to determine the transaction’s risk. When used effectively, risk-based authentication can provide protection against fraud, minimize cardholder friction, increase sales, and lead to a better experience for all stakeholders.
The following topics are covered:
- 3DS 2.0 Overview
- Risk-based Authentication
- Enhanced Data Elements
- Risk-based Authentication Best Practices
- Merchant Perspective
- Visa Enhancements
- Key Dates & Resources
- Merchant Insights
Who Should View
This course will be of interest to management and staff involved in e-commerce, digital and risk management, with a focus on issuers and issuer processors who want to understand how 3DS 2.0 works in authenticating cardholders and reducing fraud.