Your quarterly update for card scheme changes and what they mean for you! Here you'll get the latest updates from the last quarter.

Mastercard is responding to recent fraud attacks in Europe by advising acquirers and issuers of the new, revised standards and recommendations intended to mitigate fraud risk. It is already mandated that non-payment authentications for card-add always require step-up authentication; however, Mastercard has now clarified that at the time of storing a credential on file or in a wallet or tokenizing a credential, or at the latest during the first transaction following card-add, a card acceptor (merchant or wallet) must either successfully complete an EMV 3DS authentication (with challenge IND = 04/SCA mandated, and RREQ = Y) or apply another method that results in completed SCA with issuer step-up.

In order to mitigate social engineering fraud, it is recommended that acquirers ensure that wallets apply strict criteria for blocking accounts and limit, for example to a maximum of three, the number of cards that can top-up an account.

Effective 13 April 2024. Acquirers will no longer be required to provide the CVV2 in the authorization for transactions authenticated using Visa Secure in Europe. Additionally, issuers must not decline a Visa Secure transaction in Europe based solely on a missing CVV2 value. Acquirers may still choose to submit CVV2 in the authorization request for all Visa Secure transactions.

The DAF established a set of clear criteria and requirements through which transactions may qualify as fully authenticated. Fully authenticated transactions under the DAF benefit from lower fraud and higher approval rates, as well as merchant fraud liability protection under the Visa Rules. By the 1st of October 2023, Visa will expand the DAF by including FIDO authentication data, and on April 1st, 2024, the use of FIDO will be required for DAF participation in Europe. To note, with immediate effect, Visa has closed the Visa Delegated Authentication Program (VDAP) to new entrants, and the program will be sunsetted eventually.

Silverflow is pleased to announce that we are now live in production with Wallet Initiated Payments ("WIP") on the domestic Belgian card scheme Bancontact. Wallet Initiated Payments is a product feature that allows cardholders to make use of one-click and recurring payments functionality with their Bancontact cards. We are excited to offer this functionality to acquirers and PSPs in the Belgian market! Stay tuned, and talk to your account manager for more information.

Questions about any of these updates, or want to learn more? Contact us today!