Eftpos offers retailers new security features
eftpos said it is on track to bring large-scale payments competition to Australia’s online retailer sector by offering merchants a range of new security features designed to prevent fraud which is costing businesses a fortune.
The new features mean eftpos’ online transactions - including least cost routing - will be a lot less risky in terms of fraud which costs the digital economy and online businesses hundreds of millions of dollars a year.
These new features are part of the $100 million spent on eftpos’ digital upgrade over five years. Further, they are on top of other secure digital payments initiatives that eftpos is also rolling out in the digital economy. These include QR code payments experience infrastructure, mobile wallet functionality, and a digital identity service, connectID.
The national network’s chief executive Stephen Benton said consumers and online retailers using eftpos online from November will be protected by state-of-the-art fraud scoring capabilities and extra security features such as eftpos Secure, two factor authentication functionality, and eftpos tokenisation services.
The chief executive said recent agreements with global partners including 3D Secure providers Outseer and Arcot and fraud scoring market leader FeatureSpace were among the final pieces of the puzzle to enable the industry to roll out large scale eftpos eCommerce for all payments types, including high-risk transactions.
“eftpos would expect eCommerce to be enabled by all of its members by next May, in line with mandates that were issued earlier this year. Most of the enablement work has already been done,” said Benton.
“These new services mark an exciting turning point for eftpos, online businesses, and the digital economy because banks will be able to offer their customers competitive debit card payments services in areas of the economy that currently suffer from a complete lack of competition and high costs,” he argued.
A game changer
“This is a game-changer for eftpos and retailers because retail is quickly transforming to become an increasingly digital marketplace, accelerated by Covid.”
eftpos payments are currently already available in eCommerce for some card-on-file payments where banks have introduced the service for their merchant customers. Since launching the eftpos digital service that enables LCR last year, fraud has dropped to zero, according to Benton.
Despite claims to the contrary, consumer research found most consumers want to help Australia’s small businesses lower their payments costs, he went on to say.
“Consumers do care which card they use, and which account they want to access, but they don’t care who processes the transaction. However, small businesses do care because they pay for it, and the difference in cost can be significant.