With the Strong Customer Authentication (SCA) deadline coming up soon, here’s what to expect on Saturday, 14 September.
After announcements by many national regulators, we anticipate a phased enforcement of the new SCA requirements over the coming months. However, we do expect some European banks to start declining payments that aren’t SCA-ready starting 14 September.
Our information shows that you still need to make changes to your Stripe integration in order to prepare for SCA and help avoid an increase in declines starting 14 September. Updating your integration can require frontend, backend, and client bindings version changes, so we recommend that you begin updating your integration as soon as possible.
Once your integration is updated, we’ll dynamically start applying exemptions and authentication when required by the cardholder’s bank—taking into account each country’s enforcement timeline to minimise friction.
If you have any questions, please visit our support site for answers to common SCA questions and to get in touch with our support team.
The Stripe team
Then got this 2 hours later...
Are you preparing for new Strong Customer Authentication regulation?
Notice 19-L | 10 September 2019
We're writing to update you on some recent changes to the Strong Customer Authentication regulation, part of the Second Payment Services Directive which affects all businesses who take online card payments in the European Union (EU) and European Economic Area (EEA).
Last month, the Financial Conduct Authority announced a welcome 18 month extension to the 14 September 2019 Strong Customer Authentication deadline giving businesses, banks and online account providers more time to roll-out the next phase in fraud protection technology. Businesses like yours now have until March 2021 to become compliant.
At Sage Pay we've been working to minimise the impact for our customers by upgrading our systems to support 3D Secure. While we expect a gradual transition to SCA enforcement by banks and issuers across the EU, in time for the deadline, there are steps we recommend you start to take now to prepare your business.
Getting started with 3D Secure
If you are using our Form or Server integrations all you need to do is click activate in your My Sage Pay account to get started with 3D Secure version 1. For Pi or Direct integrations, you may need to undertake additional development to integrate your systems with 3D Secure.
What's more, Sage Pay customers can now have exclusive access to our new 3D Secure 2 test environment, giving merchants the opportunity to test how best to incorporate SCA compliance together with an improved user experience at checkout.
We'll continue to work closely with acquirers and issuers across the industry to confirm 3D Secure 2 timelines applicable to Sage Pay customers. You can check our support pages for regular updates on industry developments.
Why it pays to be protected
If you're wondering why you should act now, here are four reasons to make the change:
27% of consumers surveyed abandoned online transactions that lacked visible signs of security [Experian, 2018 Global Identity and Fraud Report]. Give your customers more security and build trust with an added layer of security.
Fraud losses on UK-issued cards totalled £671.4 million in 2018 [UK Finance, Fraud the Facts 2019 Report], with 3D Secure you'll have fraud liability protection saving you time and money on potential disputes.
Improve your checkout flow and customer experience with frictionless authentication. With 3D Secure 2 activated, the customer may not even realise authentication has taken place.
From 1 February 2020 issuers will begin to step up transactions. As SCA comes into force, banks will start to decline transactions that don't have appropriate authentication in place.
Looking for more information on SCA?
To help guide you, we've put together some frequently asked questions. From what SCA is and how it'll affect your business, to the steps you need to take to ensure your business is SCA ready.
Alternatively, if you can't find the info you're looking for, visit our support pages or contact us to talk to a member of our team.
Sage Pay Team
I guess I am not surprised. At least it takes the pressure off a bit to get my new store online and I can do more testing and code tidying before rolling out the new system.