MasterCard SecureCode®

Toni De Avila

MasterCard SecureCode® Article Finding

• www.ameinfo.com

• March 2010

• Kuwait Finance House (KFH)

• 1st Islamic bank to incorporate the MasterCard SecureCode to their business solutions

SecureCode®: Why is Important?

• Online Shopping: security

• Business: ERP solution

• Goal: Integrated computer-based application system fighting online fraud.

• Merchants: remove liability

• Customers: peace of mind

SecureCode®: What is it?

• A private code

• 1-6 character code

• at least 1 number and 1 letter

• Cardholder registers code online

• Code allows authentication at checkout

SecureCode®: How does it work?

• Customer must have a code registered

• Customer automatically prompted to input their SecureCode at Checkout

• Customer’s FI notified of transaction

• FI verifies SecureCode

SecureCode®: How does it work?

• Once Bank verifies Code

• Bank endorses sale

• Merchant approves transaction

• Transaction is approved

• Only participating Online Merchants

• Incorrect SecureCode: Merchant blocks code and transaction declined.

SecureCode®:Where can you register?

• 2 ways:– MasterCard SecureCode portal – Merchant`s website

SecureCode®: How to Register

• Cardholder must Authenticate:1. Input card number

2.Verify security questions (ex.: DOB, Postal Code, CVC number etc.).

3.Pass: create a 6-10 code.

SecureCode®: Registration

• Step 1: Card No. > Verify Identity > Create SecureCode…

SecureCode®:Registration

• …Registration Complete

SecureCode®:Registration

• Step 2 and 3:

SecureCode®:Registration

• What if you don’t have a SecureCode at point of purchase?

SecureCode®: Authentication Failure

• Lockout: Information does not match what their FI`s MasterCard center has on file

• Incorrect Code: Merchant Lockout

• Cardholder: – Call MasterCard call centre – Reset SecureCode lockout – Update information on the bank’s files.

SecureCode®: Who benefits

• MasterCard International

• Merchants

• Banks

• Customers*

SecureCode®: Article

• KFH manager’s believe SecureCode:– Allows secure and convenient shopping

experience at participating on-line retailers

– private code it allows consumer’s peace of mind. 

– Have a world-class internet payment services to facilitate customers’ payment needs.

SecureCode®: Speculation

• Just another scheme?

• Customers will not benefit:– Liability change from Merchant to Bank– Bank indirectly charges losses in fees

and interest

• Bank endorsed code

• Merchant avoids Chargeback

SecureCode®: Limitation

• Lockouts – Customer call FI to reset account

• Participating online Merchants only

• Works with most Browsers – prevents pop-up windows

SecureCode®: A Good ERP

• Yes!

• Consumer Confidence Increased

• Less Chargeback (overall)

• Melanie Johnson, chairman of the UK Cards Association says:– Card-not-Present dropped by 12 per

cent. – Tools like SecureCode driving down

online card fraud losses

SecureCode®: Thank You

• Questions?

Time’s Up!

• About your speaker:– Name: blah blah blah blah blah– Company: blah blah blah blah blah– Tel: blah blah blah blah blah blah blah – Email: blah blah blah blah blah blah blah – Social Media: blah blah blah blah blah– Quick bio: blah blah blah blah blah blah

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