Visa Europe’s chief risk officer warns online shoppers of potential ‘inconvenience and disruption’
Visa Europe’s chief risk officer, Peter Bayley, has warned the continent’s army of online shoppers that they face ‘inconvenience and disruption’ from new European proposals to ban express check-outs, stored card details and in-app mobile payments.
The payments provider has conducted its own consumer research which found that 61 per cent of respondents warned that additional steps to purchase would cause them to abandon purchases whilst reduced access to e-commerce sites outside Europe could hit €6bn of transactions.
In a blog post Bayley wrote: “The European Banking Authority (EBA) proposals cover how it will implement what is called strong customer authentication. The plans mean that every online transaction over €10 will require additional steps at checkout such as entering passwords, codes or using a card reader.
“Visa completely supports strong security measures. We have championed secure authentication but it has to be based on the true risk of the transaction, not a blunt ‘one-size fits all’ approach.
“We are calling on the EBA to allow risk based authentication where intelligent risk decisions can be made based on what payment service providers (such as banks) and retailers know about their customers.”
Bayley went onto stress that the potential pitfalls don’t end there, warning of longer queues at tollbooths and parking garages for example, which may be forced to ditch contactless payments and have individuals pause to enter PIN payment details.
Charlie Scharf recently stepped down as Visa CEO citing personal reasons.