With the European Central Bank estimating that Europe suffers from €1.3 Billion in online card fraud each year, the introduction of a two-factor authentication for most electronic payments made in the European Economic Area (EEA) has prompted an agreement between Amadeus and Visa’s CyberSource. The partnership will equip the global travel ecosystem with the capability to deliver Strong Customer Authentication (SCA) and protect against fraud, without compromising on payment experience.
Amadeus has collaborated with CyberSource, Visa’s payment management platform, to offer the global travel industry a range of advanced fraud and payment management capabilities.
“In a world where payments are increasingly mobile and travellers expect to pay with a single click, it’s essential merchants keep the overall experience in mind when implementing SCA,” said Bart Tompkins, Managing Director, Payments, Amadeus. “By working closely with the CyberSource team, we have committed to delivering the benefits of the new 3DS 2 protocol across our solutions and the wider travel ecosystem—laying the foundation for simple and efficient two-factor authentication by harnessing innovations such as biometrics.”
Appropriate fraud screening helps provide travel merchants with the confidence to pursue various exemptions under Strong Customer Authentication (SCA), putting them in a stronger competitive position. CyberSource fraud management capabilities are backed by machine learning insights from billions of Visa and CyberSource transactions annually, for greater accuracy and early detection of fraud—as well as consumer authentication services by CardinalCommerce.
From the outset, this collaboration will help travel merchants prepare for SCA, reduce fraud risk, and minimise the potential impact on customer experience with the introduction of two-factor authentication.
The Regulatory Technical Standards (RTS) stipulate that, for the majority of electronic payment transactions within the EEA, the payer will need to prove their identity using at least two of the below techniques:
· Something the payer knows (e.g. PIN)
· Something the payer has (e.g. SIM card or mobile device)
· Something the payer is (e.g. fingerprint)
As part of Amadeus Payments’ offering, a range of CyberSource’s payment, fraud and authentication management solutions will be made available to the worldwide travel ecosystem.
