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Galileo Financial Technologies adds 3D Secure to improve fraud protection

Wednesday 24 July 2024 10:32 CET | News

Galileo Financial Technologies has launched Galileo 3D Secure Access Control Server (ACS) to assist clients with card-not-present (CNP) transactions.

How will this security protocol help clients?

Following this announcement, Galileo 3D Secure is expected to lessen CNP fraud risks in the regions of the US, Latin America, and Canada. This upgrade aids clients in the process of safeguarding against card-not-present (CNP) debit and credit card fraud, which is expected to increase to USD 28.1 billion worldwide by 2026—an increase of 40% from 2023.

The use of 3DS in the United States is progressively increasing considering the fast-growing ecommerce sector. It is projected that Card-Not-Present (CNP) fraud will account for 73% of the overall card payment fraud loss by 2024. Recent research by Datos Insights indicates that implementing 3DS can significantly decrease fraud rates, potentially reducing them by up to six times compared to transactions without 3DS protection.

How does 3D Secure work? 

3D Secure was developed as a security protocol created by card networks in order to enhance security by validating online credit and debit card transactions. When used on 3DS-enabled ecommerce platforms, cardholders are required to confirm their identity, typically by entering an extra password or a one-time code.

This layer of extra security improves partners' customer experience by simplifying the authentication process, minimizing fraud, and transferring chargeback liability. Through the Galileo 3DS Customer Portal, clients can independently handle security rules and develop personalized risk scores according to customer profiles. Furthermore, these risk score-based rules can be easily modified to align with evolving fraud and risk parameters.

 

Galileo Financial Technologies adds 3D Secure to improve fraud protection

 

What are the benefits of 3D Secure?

Included in the customised benefits are:

• Enhanced fraud protection: by implementing dynamic risk rules and an overall improved authentication process, 3DS reacts according to the risk level of each transaction.

• Chargeback liability shift: when transactions are authenticated successfully using 3D Secure, the responsibility moves from the business to the card issuer, shielding them from any disputes.

• Advanced risk management: leveraging Galileo's exclusive fraud intelligence database, clients and users will receive enhanced fraud insights, enabling them to better understand transaction risks and refine security strategies.

• Self-service tool: clients can track important metrics, review 3DS transactions, adjust risk profiles through rule creation, modification, or updates, analyse data, and generate reports.

• Real-time data and trend analysis: the 3DS Customer Portal offers up-to-the-minute updates and detailed analytics, aiding in the overall proactive risk management and operational flexibility.

Galileo 3D Secure offers a scalable and customisable solution that caters to various clients, from fintech companies to established financial institutions and e-commerce merchants.


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Keywords: fraud, 3D Secure, transaction fraud, fraud protection, CNP fraud
Categories: Fraud & Financial Crime
Companies: Galileo Financial Technologies
Countries: Canada, Latin America, United States
This article is part of category

Fraud & Financial Crime

Galileo Financial Technologies

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