Billing: Credit Card Processing
Increasing Payment Success & Decreasing fraud
Increasing Customer Payment Success Rate
The average online transaction success rate is around 83%, however that success rate can improve to well over 90% with optimised payment routing.
Storing Credit Card Data
One Click Checkout — Different payment gateways call this feature differently. It allows the buyer to save card details on payment gateway and all subsequent transactions only require the buyer to enter CVV. It will speed up the checkout process and will result in better success rate and user experience.
UX
Handling a failed transaction — If a transaction failed with one card (method of payment) the payment gateway should prompt the user to use some other card (or a different method of payment) and complete the transaction. If the transaction failed for some internal technical reason with one acquirer, the payment gateway may try to complete the transaction with some other acquirer.
Meeting Acquirers requirements
CI velocity — Acquirers have requirements about the total amount of transactions they can process within a given time frame. When the total transaction count or volume for an acquirer has reached a configured limit within a given time frame, the transaction should be rerouted to another acquirer.
MID velocity — Limit or distribute risk, stay within payment and chargeback parameters for the acquirer, and reduce MID termination risk.
Intelligent transaction processing
Automatic retries — On subscriptions, automatically retry a declined or failed charge at specific intervals.
Processing Transactions Locally — If you sell digital products online you probably have customers in other countries. Transactions that are authorised in the same country or region where they are initiated have a higher payment success rate. By identifying the location of the bank that issued the shopper’s credit card. The transaction can then be automatically routed to an acquiring bank in the same location as the issuing bank. Maintaining continuity between currencies and languages means nothing gets lost in translation and customers get a localised payment solution that works.
Failover processing — The average online transactions failure rate is around 17%. When an e-commerce platform encounters a failed transaction it should reroute the transaction to another acquiring bank for successful completion.
Recurring payments — Have optimised risk set-ups for recurring vs. one-time transactions
BIN range — Fine-tune your configuration based on individual BINs or whole BIN ranges
Reducing Payment Fraud
Thousands of times per day, digital fraudsters exploit undetected security loopholes in even the most well thought out security infrastructures. In fact, cybercrime is the number 1 threat to business today, costing more than $400 billion in losses each year.
ThreatMetrix
The most successful cybercriminals take advantage of speed and distance — finding security loopholes and moving quickly to exploit them globally. ThreatMetrix®, The Digital Identity Company™ can help business fight back through the power of global shared intelligence.
With nearly 95% certainty, ThreatMetrix can recognize a user’s digital identity — or digital persona — somewhere in the 1 billion+ transactions they analyze each and every month.
ThreatMetrix protects against payment fraud by evaluating compromised devices, locations and bots. The payment fraud prevention solution detects if cybercriminals have compromised legitimate users devices to transact through Man-in-the-Middle (MitM) attacks. ThreatMetrix reveals location specifics about the originating request, detecting if spoofing is involved as a disguise. It can also detect unusual behaviours from botnets involving computer-generated payment details.
ThreatMetrix cloud-based model allows businesses the ability to:
Tap into a global network of billions of historic payments to find known malicious devices and IP addresses
Leverage sophisticated analytics to scrutinize every payment transaction
Detect MitM or Man-in-the-Browser malware designed to hijack transactions from a legitimate customer’s device
Find behavioural and device mismatches behind stolen credit cards, such as a mismatched location or one device with many credit cards
Build payment fraud prevention into your mobile application for secure mobile transactions
3DS
3-D Secure is an authenticated payment system to improve online transaction security and encourage the growth of e-commerce payments. Collectively Visa, MasterCard and AMEX secure systems are brand identities of the 3-D Secure Cardholder Authentication Scheme.
3-D Secure systems recreate the high level of security of a physical payment environment by requesting further payment authentication. The objective is to provide a safe and secure online payment experience across all three domains using a password that is validated by the card issuer and further checked by all other parties involved in the transaction.