Verifying the cardholder.
WHAT IT MEANS
Confirming the person is the legitimate cardholder, using independent factors.
WHAT THE FACTORS ARE
Something known Something held Something inherent
WHAT THE PROTOCOL IS
A scheme-defined flow where the issuer challenges the cardholder during checkout.
WHAT THE NEWER VERSION IMPROVED
Data shared with the issuer, enabling many transactions to pass without a challenge Better experience on mobile Support for in-application flows
WHAT FRICTIONLESS AUTHENTICATION IS
The issuer approving without challenging, based on risk assessment.
WHAT INCREASES ITS LIKELIHOOD
Sending rich data: device, history, address, prior relationship.
WHY THAT MATTERS COMMERCIALLY
Every challenge costs completion, so passing more data raises revenue.
WHAT A CHALLENGE TYPICALLY INVOLVES
A code sent by message, or approval in a banking application.
WHAT GOES WRONG
Messages not arriving Timeouts Customers not recognising the prompt Poor connectivity during redirect
WHAT TO BUILD
Clear explanation before redirect, and a recovery path after failure.
WHAT TO MEASURE
Challenge rate, and completion rate within challenges.
