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The rise of Buy Now, Pay Later

Source: Shutterstock

Synopsis: Buy Now, Pay Later is swiftly overtaking credit cards all over the world. What this new form of payment means, what makes it so popular and what is its scope?

Over the last few years, Buy Now, Pay Later (BNPL) has become a famous form of payment in India. This has further been accelerated by the Covid-19 pandemic. It has proven to be more convenient and easy as it reduces the financial burden on borrowers by offering interest free EMIs.

Buy now, pay later is a type of financing arrangement where customers can make purchases without having to pay the final amount all at once. It is a form of short-term financing. The consumers can pay the amount at a later date in future often without interest.

BNPL arrangements are slowly becoming a very popular payment option. They are also referred to as point of sale instalment loans. Using this option of financing can prove convenient and easy for some customers. This is why it is becoming famous these days. It also has a flexible repayment schedule which makes it even more desirable.

How does Buy Now, Pay Later works?

Buy now pay later companies or programs have their own terms and conditions. They are not all the same. However, these are some common lines on which they work.

1. When you purchase something from a retailer, you opt for buy now, pay later option while checking out.

2. You will be told in seconds whether you are approved to avail it or not.

3. You make a small down payment, say one-fourth of the total purchase amount.

4. You then pay off the remaining amount in a series of interest free instalments.

5. You pay it off using a cheque or bank transfer or debit card, bank account or credit card automatically.

Credit period

The credit period for buy now pay later ranges from 30 days to 36 months. This is highly dependent on the size of the transaction. It also depends on the lender and their terms and conditions. For instance, with Flipkart, a buyer gets an easy checkout process for up to Rs 10,000 as a part of their BNPL services. Zest Money, one more BNPL lender gives a personalised offer limit of Rs 60,000.

How is this different from credit card payments?

Source:.oiyo.com

Both buy now pay later schemes and credit cards involve deferred payments.

However, in the case of a credit card you have to make a minimum payment due on the card every month. Interest keeps on accumulating on the amount remaining until it is paid off in full. You can even carry forward a balance indefinitely.

In case of Buy Now Pay Later, no interest or fee is charged. However, there is a strict fixed repayment schedule that is stretched from 30 days to 36 months. It is rather like a consumer loan that is taken without any collateral.

Also, most buy now pay later companies require a soft credit check for approval. This does not affect one's credit score. In case of other forms of credit like credit card or house loan, etc a hard credit check is being done. It might reduce some points from one's credit score permanently.

In short, buy now pay later is easier than credit cards or other forms of credit payments as it is just a couple of clicks away. Also, it is available on merchant apps and websites. So, this option is much desirable for consumers to make instant purchases and then pay it off over a period of time or at a point of time.

Why is Buy Now Pay Later so popular?

Source: fintechnews.sg/

There are various reasons behind its popularity. Let us get to them one by one.

1. BNPL follows a transparent and low cost business model. A lot of the offers are subsidised by brands. In this way, the customer gets the best value of the deal. BNPL is transparent, and has no hidden charges. The user has the complete knowledge of what they will be paying and at what date.

This makes it better than a credit card while making an instant purchase.

2. BNPL is a completely digital and instant process. One can get it done just by sitting at their home in any part of the world. With digital KYC, one can even start making the transactions without any hassle.

On the other hand, a credit card will need a long process of paperwork, and credit score check to name among the others. This again helps in the favour of BNPL.

3. Buy Now Pay Later is more accessible. Credit cards are for folks with high CIBIL rate, those who live in metros and those who draw high salaries. This makes buy now pay later more open for the ones who do not fall in any of these three categories. The market for the latter type of people is also very high. So there is a considerable chance that even the folks with a credit card will start using it as it is more accessible and instantaneous. Therefore, it can be concluded that the scope of this industry's growth is very high.

4. Low interest rates in buy now pay later schemes. Credit cards are very expensive as the interest rate on missed payments might go as high as 48 per cent. In case of BNPL, it is 0 to 24 per cent depending upon merchant, tenure and the borrower.

Customers seek transparency, trust and ease in the transaction. In credit cards, there are a lot of hidden payments in the form of annual maintenance fee, cash advance fee, and GST charges.

Scope of Buy Now Pay Later

Goldman Sachs reported that the Indian e-commerce industry is set to become a $99 billion market by 2024 as it has a huge consumer demand. Industry experts also add that BNPL will become the fastest growing online payment method by 2024.

A Q4 2020 BNPL survey reported that this form of payment will grow by 65.5 per cent in India. At the same time, it will reach a value of $11,570.70 million in 2021. The adoption of BNPL will rise from 2021 to 2028 at the rate of 24.2 per cent CAGR.

Thus the gross merchandise value of BNPL in India will increase to $52,827.20 million by 2028 from just $6,990.50 million in 2020.

Flipkart is now eyeing to get into this sector with its Flipkart Pay Later services to make credit easy on the platform as well as other partnering channels. It is quite similar to PayTM Postpaid and Amazon Pay. BNPL also benefits the merchants by boosting conversion rates and average order values (AOV) as it decreases the buyer's purchase hesitation.

The credit card penetration rate in India is 3.5% which is significantly lower than other developed countries like Canada (83%), Japan (68%), United States of America (66%) and United Kingdom (65%). This shows that BNPL has more scope in India. As mentioned before, it can easily fill the gap that credit cards have created in India by making it available to most people in the country who come from diverse backgrounds.

Should you learn about BNPL?

The points stated above strongly advocate that BNPL indeed has a strong scope in India. Not just India, even western markets are ripe to take advantage of this superior technology. No one wants a credit card with layers of hidden charges levied by traditional financial institutions.

So, the answer to the question above is yes. You should learn this new product if you are one among the following.

1. Product and Project Manager

2. Practitioner and Enthusiast

3. Students, Researchers, Trainers and Teachers

https://www.youtube.com/watch?v=YTYBlXEpMQU&t=4s

Why should you enroll in the GFA course?

Global FinTech Academy aims to share the knowledge behind different FinTech verticals available to all. We offer a range of courses that make Technology easier for you. You can use this to strengthen your career, disrupt the FinTech market that is full of potential, or for literally anything. The good news is you get to learn all this in an easy language and from ground zero. Our aim is to deliver the best knowledge for you in the easiest way possible.

The course content are

Buy Now Pay Later, BNPL,
Pay in four 4,
COVID and BNPL,
Klarna,
Market size of BNPL,
Data points and trends,
Global market and players,
business models of BNPL companies,
changing dynamics due to BNPL,
transaction flow,
popularity and reasons,
consumer insights,
credit culture and BNPL,
credit card VS BNPL,
BNPL's impact on our credit bureau report,
soft and hard check enquiry on the credit bureau and what do these mean,
risks in the business model,
regulatory risk,
benefits for the shoppers, merchants,
how do BNPL makes money,
the economics of the model,
regulators on BNPL.

We are excited to simplify one of the most talked about, and hottest industry right now for you.

To get this course for USD10 only, apply code GFA10 at the checkout page.

Get it HERE

Expecting to meet you on the other side of the course!

You can access this course on Udemy as well – Click Here

References

1.https://www.financialexpress.com/money/buy-now-pay-later-heres-all-you-need-to-know-about-bnpl-schemes/2301393/

2. https://www.investopedia.com/buy-now-pay-later-5182291

Near Field Communication: the future of digital payment.

Synopsis: The pandemic has increased the use of Digital payments in the form of NFC, and Bluetooth payments. What will the future of digital payment look like?

Before the pandemic, very few business owners were thinking about setting up a contactless and digital payments mechanism for their customers. After the pandemic, when everything went virtual no one had a choice but to adapt to it. With this, Near Field Communication became popular. Here, you will get everything you need to know about this technology.

Source: 99designs.com

Meaning & Importance

Near Field Communication is a method of wireless data transfer between two devices. Devices like smartphones, laptops, tablets, etc can share data when they are in close proximity to each other. The distance is typically 2 inches apart. This is the same as Bluetooth but Near Field Communication technology uses less power and works only when the devices are close. Also, it does not need device discovery or manual sync like Bluetooth does. Near Field Communication technology facilitates contactless peer to peer payments via mobile wallets like Apple Pay, Android Pay, Samsung Pay as well as contactless cards.

To accept such payment types, you need a specialised card reader. The use of this technology has increased during the covid time because it plays a major role in Digital Payments. Your business can rely on it as it is contactless, encrypted, highly secure and can help speed up the customers’ checkout process.

The list does not stop here. These days, you can use it in three more different ways.

You can use your fitness trackers and watches to make Near Field Communication payments.
If you are on a vacation, you can pay for meals or souvenirs with your wristbands.
Last but not least, if the contactless symbol is present on your physical cards, you no longer have to swipe it in order to complete your purchase.

Why should you adopt this technology?

1. NFC payment is easy and convenient

If you are someone who pays using cards or accepts payments using them, you will know something called the dipping process. It takes a little longer to process the payment. With this technology, you can say goodbye to the awkward time between you and the consumers while their payment is being processed. For transactions of small value, contactless payments can skip the swipe, sign, and PIN.. Contactless payments take lesser time than chip card transactions. The time per transaction is less, so it makes the whole process convenient and easy. Convenience in the process leads to happy customers. Thus it is very important in digital payments.

2. Stable, safe & secure

Mobile wallets are generally more secure than magnetic strip cards. While the phone might get stolen, the device is of no use to the thieves, if passcode or biometric protection has been activated.

When using a mobile wallet, the consumer’s data is entered only once, when card information is entered into the mobile wallet. This information then becomes encrypted. Now, every time the consumer taps the payment option on their mobile wallet at an Near Field Communication enabled terminal, the data is transferred to the payment device. It is immediately encrypted by the merchant’s payment processor. However, the system is secured as it is protected using encryption and the full card number is never revealed.

Data involved in the transaction is protected using two levels. These two levels make digital payments easier and secure.

The protection by the device
Encryption

3. Adopt the new normal

After the pandemic, the new normal is using fast, secure and contactless payment methods. Also, the boom in the smartphone industry means that more people will use it for different purposes. One can use it for buying household products, or for ordering food and most importantly to make payments. For the end consumer, the faster and easier the process is, the more convenient it is. Commerce might not look the same 5 years from now. Covid-19 pandemic has only taken the time fast forward to a decade. This decade is about easing the mobile phone wallet induced payments.

It also benefits the merchants. Based on mobile wallet payments, they can drive customer loyalty programs, say by giving a coupon. This can be redeemed easily using the wallet. Also, the business gets useful analytics on their customers.

Source: lifewire.com

4. Operational efficiency

This brings us to our next point. That is how such things lead to the operational efficiency of your business directly. Amazon is a successful company as they made things easier for the end consumers. This is also the reason why shopping malls and convenience stores are failing. The pandemic has made the environment remote. People from different countries can avail your services now. So, to make sure that a business is going the Amazon way, it is important to take care of the convenience of the end consumers. Near Field Communication leads to the operational efficiency of a business.

5. Versatile

It works with more than just one payment system. It covers a range of other services and sectors as well. Near Field Communication as a payment platform can be used for mobile banking, reserving seats at the restaurant, booking train or movie tickets, delivering real-time updates on expenditure and rewards points, redeeming rewards and coupons and much more. In short, it facilitates and makes Digital Payments easier. So, one technology can generate and empower so many other opportunities as well as make the lives of the users easier and faster. This makes the future an exciting place to look forward to.

Should you learn this technology?

After mentioning so much as to why you should adopt this technology, it becomes very clear that the answer to it is yes. You should learn this if you are any one of the following

1. A business owner looking to make the experience of consumers better

2. An engineer interested in the future of the FinTech industry

3. An entrepreneur looking to disrupt the FinTech industry

Know more about it here

Why should you enroll in the GFA course?

Global FinTech Academy aims to make the knowledge on theTechnology behind FinTech available to all. We offer a range of courses that make Technology easier for you. You can use this to strengthen your engineering career, disrupt the FinTech market that is full of potential, or for literally anything. The good news is you get to learn all this in an easy language and from ground zero. Our aim is to deliver the best knowledge for you in the easiest way possible.

This course is Business-Oriented. This means it is fully updated with the industry trends of all time that you need to know about.

Here, you will learn about

Contactless payments
Near Field Communication
Host Card Emulation
RFID based Digital Payments
Difference between embedded Secure Element (eSE) and HCE
Bluetooth payment
Android Pay
Apple Pay
Samsung Pay
MST- Magnetic Secure Transmission
risk and mitigation
a light touch with technology and backend process.
FinTech Mobile Payment System
Payment Processing
Bluetooth Low Energy (BLE) based Payments
PayPal Video on beacon-based payment.

We are excited to simplify this most talked about contactless digital payment method in the FinTech and digital banking industry, Near Field Communication and HCE in this course.

Get it HERE

To get this course for USD10 only, apply code GFA10 at the checkout page.

Expecting to meet you on the other side of the course!

You can access this course on Udemy as well – Click Here

References

How do tokenization and encryption secure digital payment?

Source: cnbctv18.com

Synopsis: tokenization and encryption help make digital payments secure. Why are these technologies necessary and what are the differences?

When everything went digital in 2020, the threat of data breaches and virtual frauds increased.

This is why the security of our digital transactions matters more than ever now. This is more needed with the security of payment data.

Payments are becoming faster than ever. It is because they are digitised as consumers want convenience as well as choice. With this, tokenization and encryption are emerging as the key tools to secure our sensitive information. It is also done in a cost-effective and protective way.

If you have ever made a purchase online through e-commerce platforms like Amazon or Flipkart, you will notice how easy their payment mechanism is. One would like to purchase things the same way in the future as well. This is solid proof that digital payments are here to stay and that you will need to secure them.

Consumers and businesses depend upon technologies like tokenization and encryption to secure the transactions done every day. Let us understand the various aspects of this and why they matter to the various stakeholders involved.

What is Payment Tokenization?

Source: geeksforgeeks.org

In simple words, tokenization means to substitute or replace one thing with something different. Similarly, tokenization is the simple process of replacing sensitive data with non-sensitive token data.

The real data is stored in vaults. These vaults are purpose-built secured tokens. The tokenization of payment is a mechanism to replace sensitive and personal data like credit card numbers and PINs with a unique identifier. This can only be authenticated, decrypted, and translated by the token provider. The process of tokenization lets businesses and their users safely undertake payment transactions. At the same time, they make sure the important transaction data is of 'no cash value' to hackers and criminals.

Tokenization is a primary and standard technology that secures the data of a cardholder in a digital transaction. However, one thing should be noted that this transaction need not be online only. It applies equally to in-store purchases as well as the payment of utility bills that are recurring in nature. It is applicable to every type of transaction done online using cards.

How does end-to-end encryption work?

End-to-end encryption has become quite popular in the last decade. It was firstly used in messaging services like Telegram, iMessage and WhatsApp.

End-to-end encryption uses cryptography to necessarily scramble data at the initial point in order to secure it for transit. In other words, it substitutes sensitive data with a one-time alphanumeric ID. This ID has no value to the hackers who might break in between, nor does it have any use to the account's owner.

Finally, the recipient decodes it on the other point. In all this, a third party provides encryption keys to the parties in both points so that a more secure exchange can take place rather than sending raw and unencrypted data.

Tokens do not include any sensitive data. They are just like a map that explains where the customer's bank keeps the information within their systems. Tokens are generated through mathematical algorithms that cannot be reversed. These can be opened only after the transaction is completed.

These are the six steps necessary in this process that happens behind the scenes:

1. A consumer initiates a transaction and enters sensitive card-related data.

2. This information is received by the merchant acquiring bank in the form of a token

3. Acquirer transmits this token to the credit card networks for authorising

4. Once it is authorised, the customer's data is stored in the bank's vault. These are secured and the token gets matched with the customer's account number.

5. The bank verifies the transaction and declines or allows it depending upon the funds.

6. If authorisation is successfully done, the merchant gets a unique token in return for current and future transactions.

End-to-end encryption was started back in the 90s. However, it became popular with a program named Pretty Good Privacy (PGP) in the 90s itself. It again became famous with messaging apps as mentioned before.

Benefits of credit card tokenization

Credit Card tokenization boosts payment security by a lot. Tokenization is a foolproof way of protecting your customers' payment information from both external hackers and internal problems.

These randomly generated tokens can be read by the payment processors only. So it cannot be monetised unnecessarily by any party involved or external hackers.

With tokenization, many businesses have to comply with PCI DSS standards or they will be imposed a fine in case of a data breach. Also, merchants can comply with PCI DSS with negligible liabilities and security expenses.

Not just transactions but other sensitive information like passwords, secret files can also be protected using the tokenisation mechanism.

What are the differences between tokenization and encryption?

Source: Experts Exchange

These two technologies are complementary. They are used together as a part of layered security approaches. However, there are a few differences to keep in mind.

1. Functional difference:

Encryption protects data in motion whereas tokenization protects the data at rest. In spite of sending the raw data, it is encrypted. It is encryption that makes the data more secure.

Tokenization is the process of replacing the data with randomly generated tokens, which stores the sensitive data in a secured vault.

2. Operational difference:

Encryption is dependent upon cryptographic algorithms and keys to encode the data during the transmission process. This transmission is risky as data has to travel through different networks.

Tokenization replaces the data with tokens. These tokens have no value to hackers as it is generated randomly by mathematical algorithms.

https://www.youtube.com/watch?v=icAs5JRKaaY

The role of digital wallets.

When you are shopping for something, you look for both convenience and security. Digital and mobile wallets stand on both tests.

Tokenization is important to bring the use of digital wallets to life. Mobile applications have come out as an important sales medium mostly because of integrated payments.

The payment credentials saved already make checkout easy for the shoppers. However, to add some extra layers of security, encryption, tokenization and device authentication are needed.

The scope of tokenization and Reserve Bank of India

We have talked in this article previously about how tokenisation makes online payment and shopping easier and more secure. Even in the policy front, the Reserve Bank of India has realised its importance.

Reserve Bank of India (RBI) has issued a notification permitting authorised card networks and issuers to offer card tokenization services. With effects to the same, it has advised that neither the authorised Payment Aggregators (PAs) nor the merchants on-boarded by them shall store customer card credentials. So it will affect the information stored as Card on File as well, even the card on file information needs to be tokenized and payment networks, issuers will have to ensure compliance. Further, RBI has also extended the scope of tokenisation to other devices as well like devices that can support or participate in the Internet of Things (IoT) ecosystem for payments.

Also, explicit customer consent will be required from the customers if they want to use tokenization service or not, and only then tokenisation can be given. Customers must also be given a choice to remove the tokens associated with their card as per their wish, and such facilities must be provided through digital modes, like IVR, net banking, mobile application etc. Whenever a new card is issued, previous tokens need to be removed and explicit consent for registration needs to be taken. We are hopeful that in the future tokenisation will not remain a choice but a necessity.

However, for transaction tracking and/or reconciliation purposes, entities can store limited data. It will be the last four digits of the actual card number and card issuer’s name, in compliance with the standards applicable.

So, the future of tokenisation is very bright.

Should you learn about this technology?

This technology makes things easier and more secure for businesses and individuals. The use of it will increase in the future. So, the answer to the question above is yes.

Why should you enroll in the GFA Course?

Global FinTech Academy aims to make the knowledge behind Financial Technology available to all. We offer a range of courses that make the understanding of Technology easier for you. You can use this to strengthen your career, knowledge, disrupt the FinTech market with new and innovative product/s that are full of potential, or for literally anything. The good news is you get to learn all this in an easy language and from ground zero. Our aim is to deliver the best knowledge to you in the easiest way possible.

This course is Business-Oriented. This means it is fully updated with the industry trends of all time that you need to know about.

In this course, you will learn about.

Tokenization in Digital Payments
Tokenized Transaction Flow
Network based tokenization
Apple Pay Tokenization
Hardware Security Modules (HSM) for Encryption and Decryption
PCI DSS on Tokenization
Merchant Responsibilities in PCI DSS Tokenization process
Open Authorization OAuth and Tokens

With the increasing number of Digital Payment tools and use cases, we are also becoming prone to newer frauds and risks. New age fraudsters and hackers are smarter and we need to protect ourselves by being one step ahead of them. Tokenization and Encryption are the tools that can secure mobile-based digital payment systems and Payment Processing.

Apple Pay, Samsung Pay, Google Pay, payment service providers, almost all companies are using tokenization and encryption to secure their own as well as the entire payment ecosystem.

We are excited to simplify these two most talked about security tools in digital payments in this course.

To get this course for USD10, apply code GFA10 at the checkout/payment page

Get it HERE

Expecting to meet you on the other side of the course !

You can access this course on Udemy as well – Click Here

References

Digital Payment Fraud Prevention with 3D Secure 2.0

Source: 3dsecure2.com

Synopsis: 3D Secure 2.0 is widely used now for preventing fraud. What is this technology and how does it work?

With everything going digital in 2020 with the pandemic, preventing fraud has become extremely important for any business. Fraud not only drains revenue but also makes an unfavourable impact on the minds of the customers. Then, the business might be targeted multiple times as the fraudsters have now got an easy score.

This is the reason why effective fraud prevention is a goal for most companies. For this to be implemented, businesses need to stay on cutting edge technology for fraud prevention.

There are a number of tools available in the market to prevent fraud related to digital payments. However, the most effective of them for businesses in digital payment is 3D Secure 2.0.

What is 3D Secure 2.0?

3D Secure 2.0 is a protocol that lets merchants transmit detailed transaction information securely. This is sent to issuing banks that let merchants take full advantage of the bank's advanced fraud analysis tools.

This technology has been developed by Arcot Systems and Visa. It supports improved translation security and has been adopted and implemented by all the major card networks under different names some of them include ProtectBuy and SafeKey.

This technology is named 2.0 because the first version of this had major issues. It had limitations like it could not identify the customer's identity when the bank fraud analysis showed that the transaction was risky. It resulted in increased instances of cart abandonment. Also, the first version only supported the transmission of 15 types of transaction data. So the analysis that could be done was limited.

3D Secure 2.0 fixes this problem and it has some additional features. This is why it is a more attractive option for the merchants especially as more customers are now using their smartphones to make purchases.

How did 3D Secure 1.0 work?

With the first version of 3D secure customers had to opt-in to the program with their issuing bank and a pin was assigned to them so that they can use the card online in a secure manner.

This created two major issues for E-Commerce merchants.

1. If the customer forgot his/her pin then the transactions were declined.

2. The order approval time was increased because customers were redirected to the card network websites right from the merchants' checkout page so that they can approve the transaction.

If one wanted to prioritise the ease of use then 3D Secure 1.0 was not at all convenient. However, it was widely used and accepted by various Asian and European merchants. It is still used by some merchants outside the USA.

How did 3D Secure 2.0 work?

Source: Visa

The 3D Secure 2.0 is frictionless, allowing merchants to verify a transaction with the issuing bank in real-time. It uses two-factor authentication to confirm the customer's identity when needed.

It also supports the transmission of more than a hundred pieces of information to the issuing bank as opposed to 15 for the first version. This led to more effective risk analysis.

Therefore the customer experience is smooth with this. Also, the cardholders need not remember their passwords to facilitate their transaction.

To enable 3D secure 2.0 a JavaScript code is inserted into the merchant checkout page. When the customer provides their details of credit card then this information along with the digital footprint like the IP address, machine address and such are sent to the cardholders' issuing bank. This is done to validate the transaction.

When the transaction is approved the customer sees a processing indicator for some time which is then followed by a checkmark indicating approval. If the issuing Bank thinks that the transaction requires additional verification then the customer might get a text message with a one time code. They might be asked to scan their face or fingerprint for biometric authentication. In any case, it is a process with which many customers are familiar. This is rather easy as they do not have to remember the static PIN.

What are the benefits of 3D Secure 2.0?

3D secure can prevent fraud charges and shields the merchant from additional payment if a customer is not truly authenticated.

Also if the transaction verified by 3D Secure technology turns out to be fraudulent then the issuing bank is responsible. The merchant is not.

A common concern among E-Commerce merchants is 'Not Authorised' codes. Using 3D secure decreases the number of such disputes that merchants might have to deal with.

One thing that is worth noticing here is that 3D Secure can provide protection from only 'Not Authorised' codes. If you are a consumer and there is some other dispute you can still file a complaint on the grounds of customer service issues or merchant error.

Therefore the issuing Bank must also be 3D Secure enabled in order to verify the transactions of the consumers. If the cardholders' bank is not 3D Secure enabled, then the transactions will show a non-verified response. In this case, merchants are not protected from fraudulent transactions. They are not secured.

Why should you use 3D Secure 2.0?

Source: clearhaus.com

The merchant who gets a higher number of chargebacks with a 'Not Authorised' reason code will benefit the most from this technology.

Some of the major such reasons include:

1. More sales and less friction: 3D secure 2.0 enables purchases to authenticate themselves. This process is very easy, simple and less time-consuming. This frictionless technology decreases cart abandonment rates of e-commerce websites.

2. More data means greater authentication accuracy: since the data collected is relatively more, issuers can more precisely determine the transaction's risk. A survey done by Visa shows that 95% of transactions are straightaway approved. It also mentioned that cardholders experience 40% less fraud.

3. It is built for mobile: with the pandemic, the number of smartphone users is increasing. Now browser redirection and poor screens will not help the consumers. 3D Secure 2.0 has added support for authentication in mobile apps. This means that the consumers who are using their smartphones will have a smooth experience.

Some of the industries that are benefited the most from 3D secure 2.0 technology are as follows:

Health and beauty
Insurance
Electronics
Gaming
Digital goods
Digital subscription
Digital Services
Luxury goods

How long does it take to set up 3D Secure?

The integration process and the setup takes around 2 to 5 business days. It depends upon the service provider. The JavaScript code is provided and it needs to be inserted on the checkout page so that 3D Secure can be enabled. All this process does not require and need experienced developers. Even an entry level developer can complete this process in a few hours. You need to contact your bank and a visa representative to get registered with 3D Secure 2.0.

Should you learn about this course?

3D secure prevents fraud in transactions. It is desirable for banks, merchants and customers. With everything going digital in the 2020 pandemic, this technology is needed more than ever. So the answer to the above question is yes.

Why should you enroll in the GFA course?

Here, you will learn about:

Three Domains in the 3D Secure
3DS Domain wise Transaction Flow
Important Terminologies in the transaction flow
3DS Transaction flow by VISA
Step wise transaction details
Transaction Logic 3DS 1.0
Transaction Logic Flow 2.0
Liability Shift in 3D Secure
3D Secure explained through Stripe Video
Data points captured in 3D secure 1.0 and 2.0
Benefits of 3D Secure 2.0 for FIs, Merchants and Customers

With the increasing number of Digital Payment tools and use cases, we are also becoming prone to newer frauds and risks. New age fraudsters and hackers are smarter and we need to protect ourselves by being one step ahead of them. Card Not Present Transactions (CNP) in e-commerce is the most affected industry with the number and volume of fraudulent transactions.

In this business-oriented course, we will understand what 3D Secure (3DS) 2.0 in Digital Payments is, and how it helps in reducing fraudulent transactions.

What is 3D Secure, Card Present and Card Not Present Transactions, 3 Domains of 3D secure, important terminologies and transaction flow, transaction flow steps in detail, Liability shift explanation, EMV 3D Secure, data points in 3D secure, 3D Secure 2.0 and Second Payment Services Directive (PSD2) of European Union Strong Customer Authentication (SCA), 3D Secure (3DS) 2.0 in Digital Payment Security - FinTech, Business Oriented Course on 3D Secure (3DS) 2.0 in Digital Payments. FinTech, Payment Processing.

We are excited to simplify the most talked about 3D Security in digital payments.

To get this course for USD10 only, apply code GFA10 at the checkout page.

Get it HERE

Expecting to meet you on the other side of the course!

You can access this course on Udemy as well – Click Here