Every online merchant should know they need a secure gateway for online transactions to grow their business. Therefore, it is necessary to implement 3D secure authentication for payment gateways so that customers can trust your website. To understand 3D secure identification, you need to understand it includes three-domain servers involving three parties who become prominent figures in the whole transaction process.
3D secure authentication’s primary purpose is to use it as a security protocol, thereby preventing any fraud in financial transactions involving debit and credit cards. The main idea behind using 3D security is to make online transactions secure, thereby boosting your e-commerce websites’ growth. It is an excellent method to reduce any risk for unauthorized usage of debit or credit cards.
As technology is growing, online shopping has become a recent and common phenomenon. 3D secure authentication online shopping has become a speedy and safe manifestation for both customers and merchants in recent years. 3D secure authentication has a premium range of protection systems devised for merchants and customers. However, you must know that both customers and merchants should not regard it as a universal remedy for every kind of online payment under the sun. It is good but not the ultimate.
Multidimensional benefits of 3D secure authentication
The various benefits of 3D secure authentication apart from enhancing brand loyalty, improved credibility of the company, making online shopping safe for customers are:
A shift in liability
The primary purpose of using 3D secure authentication systems is to make online shopping more secure by making every transaction increasingly verified and safe. After completing the liability assumption, it becomes the card issuer’s liability to provide ample protection to secure the transaction. Therefore, the primary responsibility rests on the vendors to get an appropriate confirmation regarding the shift in liability terms and conditions. It means that there will be a shift in liability from the customer to the bank issuing the card in specific cases. If you try to attempt a transaction through a 3D secure authentication, your money becomes safe.
Reducing fraudulent activities
A 3D secure authentication payment reduces the risk of fraudulent financial transactions and decreases disputed transactions. It is an excellent way to make complete and safe payments. As such, if you, for some reason, could not complete your transaction, then due to the additional layer of security, you will not be charged for the same.
No hidden cost
Most customers or merchants try to choose those payment gateways that do not charge extra for adding 3D secure authentication features. As such, you can sum up by saying that a system of 3D Secure Online Payments, is a very innovative technology to keep your online financial transactions safe, thereby helping you to use the best online e-commerce websites and merchant facilities.
Better consumer experience
If you have a payment gateway that is convenient to use and offers a secure platform for financial transactions, it will improve your sales. Merchants need to ensure that the checkout is simple and transaction procedures are safe. It will increase your return customers. Customers would love to visit your eCommerce website to shop frequently. The online platform’s shopping experience should be easy, secure, free of fraud, and, of course, a time-saving option. If it has too many hassles or steps, it might become time-consuming and challenging for consumers to indulge.
How does a 3D secure transaction function?
Listed below are a few steps to help you understand the working of 3D secure transaction:
- The primary step is to establish a connection between the directory server and the payment gateway.
- The payment process should get redirected to the bank website of the cardholder.
- After the cardholder submits appropriate card information, then the transaction details get forwarded to the specific bank.
- Then comes the 3D secure authentication, where the buyer will have to enter a specific password to verify their identity. It is a one-time password used for a particular transaction.
- After the verification of the buyer’s identity, the cardholder’s bank completes the process.
- Depending on the details filled in by the customer, the transaction either gets declined or approved.
You must know that the increase in digital shopping is mainly due to 3D secure online payments, and cashless trade because it has made transactions relatively quick and seamless.
Now data sharing has become very easy between merchant banks and the issuer; therefore, customers can make better shopping decisions without any risk. 3D secure authentication is a protocol that gives customers a better experience and authentication options, thereby reducing risky transactions.
It acts as a biometric, where you need to use a one-time password to get your transaction approved. It is a streamlined process that improves the shopping experience, allowing customers to do online shopping even on mobile devices with reduced risk.