Why You Need a 3D Secure Payment Gateway

July 16, 2018 | Financial Problems | Jessyka Lee

3D Secure payment gateways, it may seem like a tech buzzword, but it could help your eCommerce or card-not-present business decrease shopping cart abandonments; here’s how. Data breaches are something that happen everyday.

From big corporations to small mom and pop organizations, cybercriminals are constantly bombarding merchants’ payment gateways to get to the sweet, sweet meat of free consumer data. Some payment gateways contain sensitive client and customer’s credit card and bank info, social security information, and other personal information that can cause damage to consumers and brands alike.

Given this stark reality, what can eCommerce merchants offer to customers to give them peace of mind their personal info is safe with them when after they complete a purchase? The answer is a 3D Secure payment gateway, like the one offered through PayKings.

What Does 3D Secure Mean?

Basically, what we know as 3D Secure was created by the major payment processors to add an extra layer of encryption to consumers for card-not-present merchants. Consumers know it as Visa’s Verified by Visa, MasterCard’s SecureCode, or American Express’ American Express SafeKey.

A 3D Secure transaction will start with a redirection to a payment gateway through a payment processor, and then initiate an authentication method based on a three-domain model (what the 3D means in this instance) consisting of the acquirer domain (the bank and the merchant to which the money is being paid), issuer domain (the bank which issued the card being used), and the interoperability domain (Visa, MasterCard, AmEx or whatever else credit card used). Then the customer uses a password to confirm their identity, after it is accepted and verified, the payment is complete.

Why Would Card-Not-Present Merchants Need a 3D Secure Payment

For your customers, it means that they know their sensitive information is secure with your organization. Studies indicate that as many as a third of cardholders are scared to shop online due to safety concerns. Authenticated payments may convince prospective eCommerce shoppers that it is safe to use their own card online.

For merchants, it means a reduction in disputed or fraudulent transactions that could lead to increased chargebacks which are what causes acquiring banks to freeze high risk merchant accounts. On top of that, it has minimal impact during the checkout process, so it isn’t drawing out the checkout process which could cause customers to abandon their shopping carts.

Get 3D Secure Payment Gateway Solutions with Your PayKings High Risk Merchant Account

At PayKings, you will be able to accept credit cards from your website with our seamless 3D Secure payment gateway integrations. Along with a high risk merchant account, PayKings will work with you to ensure you can offer your customers everything they are looking for in secure payment processing. Apply for a free quote and get started accepting payments now!

July 16, 2018 | Financial Problems | Jessyka Lee