We’ve all been given the rule book, we have all been told that everyone is due on the field but none of us have played this before

With just days to go before the 31 December 2020 deadline for Strong Customer Authentication (SCA) implementation in Europe, it’s worth taking a look at at the industry’s position within the rollout of this far-reaching new requirement.

Delivering a cohesive, integrated rollout of SCA will be difficult—simply because there’s so many different moving parts and players. When talking to clients, Brian Gaynor at JP Morgan compares this to everybody preparing to play a new sport together. 

We have all been given the rule book, we have all been told that everyone is due on the field on 1 January 2021, but none of us have played this before. Is it all going to work?

Brian Gaynor, JP Morgan

Finextra report that SCA is not going to just appear ‘everywhere’ online on 1 January. Right now, what we’re actually seeing is a gradual ramp-up of initiation across Europe. 

Different issuers across Europe are starting to implement SCA, particularly for high-value transactions. We are observing card challenges happening within the ecosystem where we haven’t seen them before. This glide path towards a much higher level of transaction queries and challenges is going to continue between now and December 31. Of course, there will be a big jump in SCA compliance on 1 January 2021, but between then and now, be prepared for some unpredictability as we shift into a whole new era of payments authentication.

More: Strong Customer Authentication (SCA) implementation in Europe.