The toughest challenge merchants face in taking online orders is the inability to verify the purchaser is truly the owner of the credit card being presented for payment. There is no way to compare a physical ID to the cardholder name in an online order. Sales conducted online have previously relied on the customer/fraudster entering the correct address and Zip Code associated with the card number as the primary method for preventing fraud.
Obviously, a thief who finds or steals a wallet has full access to all of the cardholder’s personal information and will likely continuing using the stolen credit card for fraudulent purchases until the card is either reported lost or stolen and no longer works.
Visa is rolling out a new service for their cardholders known as Click-to-Pay. Under the new program, Visa will send cardholders a one-time code to their email and/or mobile phone to verify the transaction is valid. Think of this as a program similar to two-step verifications that you are likely use to using already.
Visa’s Click-to-Pay is intended to reduce fraud on online selling platforms. It is a checkout experience built on the latest eCommerce specifications known as EMV Secure Remote Commerce. To make a purchase, cardholders will no longer be asked to enter their 16-digit account number, fill out passwords or complete any long forms. Merchants who elect to implement Click-to-Pay on their websites will display an icon that easily identifies to the cardholder that Click-to-Pay is available. The cardholder will click the Click-to-Pay icon to complete their transaction and verify on their phone or computer that it is really them making the purchase.