LONDON | eMerchantPay and iSignthis partner to enable merchants to safely accept online payments by eliminating fraud and, at the same time, drive conversion rates for higher value transactions. The iSignthis solution provides merchants the benefit of the 'liability shift': merchants are not accountable for online fraud and protected for costly chargebacks.
Card Not Present Fraud
“In 2012 Card Not Present Fraud was in excess of EUR 798m in the SEPA region, whilst Identity theft costs businesses $21 billion annually (Javelin Strategy & Research). Merchants on the eMerchantPay network will benefit from the introduction of the iSignthis services 'Strong Customer Authentication'(SCA) and 'Online & Remote Evidence of Identity' (EOI), both of which will have an immediate impact on card-not-present fraud and ecommerce merchants operations.
Two Factor Authentication for Safe Acceptance
From first quarter 2015, merchants on the eMerchantPay payment network will be offered safe acceptance by a so-called 'two factor Strong Customer Authentication (SCA) system: in an online shopping environment, the payment system tries to identify, in real-time, whether it is the genuine customer or a fraudster who is performing the transaction. The system challenges the shopper to provide two things: some information only known to the genuine buyer and to use something that only the genuine buyer can posses or that is inseparable from the buyer (e.g. fingerprint, eye iris). A good example from everyday life is the withdrawing of money from a cash machine. Only the correct combination of a bank card (something that the user possesses) and a PIN (personal identification number, i.e. something that the user knows) allows the transaction to be carried out.
Online Evidence of Identity
The Two-Factor Strong Customer Authentication (SCA) service is based upon iSignthis’ patented EOI authentication process. It enables merchants to identify their customers in a non-intrusive way. The online buyer is not required to upload or share sensitive documents or data. Customers are identified by using the basic information a customer would normally provide to the ecommerce merchant, such as payment and delivery details. That information forms the basis for a customer’s identity profile and will generate a personal account. Only the person who owns the account - the shopper - can generate one-time passwords needed for subsequent purchases.
Anti-Money Laundering and Know Your Customer
The iSignthis services also allow online businesses to meet Anti Money Laundering (AML) and Know Your Customer (KYC) regulations. AML obligated merchants can take advantage of the operational benefits, reduced customer friction and lower customer conversion costs of identifying ‘paid-up’ rather than ‘signed-up’ customers.
“Online identity is a challenge for many AML obligated merchants seeking to migrate services online. We are pleased to be integrating with eMerchantPay for both SCA and EOI, including on-boarding customers to the new eMerchantPay eMoney service.” said iSignthis Executive Director John Karantzis. “iSignthis and eMerchantPay will help merchants meet their compliance requirements for payment authentication and AML, whilst also providing their businesses with global customer reach and advanced two factor anti-fraud capabilities.”
'Minimise CNP Fraud, Increase Conversion and Comply with Regulations'
Being able to offer iSignthis’ SCA and EOI services to our fast growing international merchant base, not only ensures that eMerchantPay offers PSD 2.0 and Account Money Laundering (AML) compliant payment services, but also acts as a means to enable merchants to increase conversion. All this without any implementation requirements on the part of our merchants, a strong additional selling point”, said eMerchantPay’s VP Product Development, Robert van Vuure.
eMerchantPay is a trusted global leader for international online payment processing gateway services, with merchant customers in over 40 countries. Moreover, innovative payment solutions offering processing in more than 150 currencies and various languages, plus dedicated account managers providing personal service. eMerchantPay is to offer merchant accounts to businesses of all types and sizes, even in high risk situations where approval has previously not been secured. Founded in 2002, the eMerchantPay Group is a privately held corporation headquartered in Europe with offices in the United States of America, the United Kingdom and Bulgaria.
iSignthis Ltd, of Melbourne, Australia, has since 2011 developed solutions for online payment security, online identity authentication, and validation of e-contracts & e-mandates. iSignthis’ core patented technology provides Evidence of Identity (EOI) that allows a person to be authenticated and on-boarded to AML regulated services. The iSignthis Strong Customer Authentication service assists merchants, acquirers, issuers and payment service providers to meet the European Central Bank ‘SecuRE Pay’ security of internet transaction recommendations across the 30+ debit/credit card schemes in operation across the EU & SEPA. For more information visit iSignthis' website.
Sourced from eMerchantPay, May 18th, 2014