3D Secure

3-D Secure, standing forΒ Three-Domain Secure, is an additional security layer for online credit and debit card transactions.

Developed by Visa with the name Verified by Visa, it soon gained traction and was adopted by other major card schemes, MasterCard (MasterCard SecureCode), American Express (SafeKey), and others.

  1. The three domains referred to in its name are the acquiring bank (merchant and merchant bank)
  2. The issuing bank (cardholder and card issuer)
  3. The infrastructure provided by the card scheme to support the secure protocol (access control server)

The 3-D Secure protocol enhances online purchase security by verifying cardholder identity, significantly diminishing the risk of card fraud and chargebacks. It achieves this by requiring a password or another form of authentication before finalizing the transaction. Recognized and trusted globally, 3-D Secure stands as a formidable defense against online fraud, becoming a standard safeguard for e-commerce platforms and merchants.

A notable advantage of 3-D Secure is its capacity to transfer chargeback liability from the merchant to the card issuer, offering businesses an extra layer of security and mitigating the financial repercussions of fraudulent transactions.

Moreover, 3-D Secure continues to adapt, evolving alongside the dynamic nature of online threats. With technological advancements, it has become more streamlined and user-friendly, facilitating secure transactions for cardholders with greater ease.

In conclusion, what is a 3D secure code? It’s a crucial tool in the fight against online transaction fraud, offering an indispensable security layer for both merchants and cardholders. The 3D secure program, implemented in major card schemes, including 3D secure debit cards, has proven effective in minimizing fraudulent activities and chargebacks. This system not only shifts liability away from merchants, providing a vital financial shield, but also continuously evolves to improve the user experience and tackle emerging online fraud challenges. As a result, 3D secure payments play a key role in making the digital marketplace a safer environment for consumers to shop and do business, underscoring the program’s importance in online payment security.