SHAFAQNA- MasterCard and Visa have announced plans to replace their much disliked online security systems, MasterCard SecureCode and Verified by Visa, replacing them with an easier to use system.
For several years online shoppers have been asked to input an extra password during the check-out process, but the systems designed to give an extra level of security and prevent fraud have been considered unwieldy and open to exploitation.
Typically, shoppers making an online payment see a pop-up window that requires them to enter part of another password. Retailers were encouraged to adopt the protocol as it reduced the number of fraudulent chargebacks – money returned to the consumer from the merchant due to a fraudulent card transaction.
But following feedback that customers have struggled to remember the often more complex passwords – as well as concerns that it can be difficult to tell whether the pop-ups are legitimate or fraudulent – a new system is being developed.
The new authentication system aims to tackle some of these issues by reducing the reliance on passwords as a means of verifying identity. Initially, consumers may have a code sent to their mobiles, which they would then type in.
Eventually, cardholders will be able to identify themselves with the likes of one-time passwords or fingerprint biometrics, and even a wristband which authenticates a cardholder through their unique cardiac rhythm. Such measurers will do away with the need to remember another password, to the great relief of many.
“All of us want a payment experience that is safe as well as simple, not one or the other,” said Ajay Bhalla, president of enterprise security solutions at MasterCard. “We want to identify people for who they are, not what they remember. We have too many passwords to remember and this creates extra problems for consumers and businesses.”
Mastercard said it expected payments on mobile devices to account for 30% of all online retail sales by 2018. “The new standard will move security infrastructure beyond the PC era, supporting emerging technologies and changing consumer needs,” it said.
source : http://www.theguardian.com/money/2014/nov/13/mastercard-visa-kill-off-verification-systems