Australian e-commerce merchants urged to introduce Visa authentication

Merchants that are at risk of fraud must implement Verified by Visa service by 1 October 2014

Australian e-commerce merchants that experience a high degree of fraud will be required to offer Visa’s online security service, Verified by Visa (VbV), from 1 October 2014.

VbV is an online authentication service which confirms a customer’s identity when they are about to purchase items.

According to Visa's senior director of risk services, Ian McKindley, the requirement was made due to a rise in card not present (CNP) fraud.

He cited 2013 data released by the Australian Payments Clearing Association (APCA) which indicated that CNP fraud in Australia increased 5 per cent over the past 12 months ending June 30 to $198.9 million.

This compared with CNP fraud statistics from 2012 which showed a total of $183 million.

“The companies targeted by CNP fraud included airlines, computers, software, electronics, music, telecommunications, travel and gambling. The VbV service brings a simple addition to the online checkout process that will support a reduction in online fraud,” he said in a statement.

McKindley added that companies who offer VbV are protected from fraud-related chargebacks on Visa cards.

Follow Hamish Barwick on Twitter: @HamishBarwick

Follow Computerworld Australia on Twitter: @ComputerworldAU, or take part in the Computerworld conversation on LinkedIn: Computerworld Australia

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags visaonline fraudVerified by Visacard not present

More about APCAVisa

Show Comments
[]