Sarah Kocianski from 11:FS provides the low-down on the possible pain points of SCA, the effects it may have on consumers and what looks like the best approaches to rolling out the initiative.
Payment fraud is on the rise. As part of the EU’s PSD2 regulation, SCA (Strong Customer Authentication) has been written into law by all EU countries.
The requirement ensures that electronic payments are performed with multi-factor authentication, making it much harder to conduct malicious activity on an account or complete a fraudulent transaction.
Firms have until March 2021 to become compliant with the new law – but there’s so much work left to be done.
From banks (digital and incumbent), to merchants, to issuers and beyond, big changes will affect how consumers carry out these transactions on a day-to-day basis.
SCA affects us all – Sarah’s video is an excellent way to understand this issue.