As a result of this initiative, cardholders across Taiwan and China are able to authenticate themselves when making online payments using their Visa credit cards. The service makes use of Verified by Visa, an online system which confirms the buyers identity with an extra password during an online transaction. Cardholders who have enrolled their cards for the service and registered a mobile phone number with their bank will use a one-time password for online payments. The one-time password is sent to the cardholder via a text message.
The cardholder uses this one-time password when making payments on the internet instead of using a fixed password for identity verification. After the customer enters the Visa card number, a screen from the bank appears and asks for the password. At the same time, the cardholder receives an SMS with the one-time password. After the cardholder introduces this password, the bank verifies the transaction and completes the payment. According to a Visa study conducted in Asia Pacific, nearly 80 percent of internet users conducted an online transaction and spent an average of USD 3,000 each in 2008.
Every day we send out a free e-mail with the most important headlines of the last 24 hours.
Subscribe now