wordpress blog stats
Connect with us

Hi, what are you looking for?

Indian E-Commerce Braces For Changes In Credit Card Verification Norms

The e-commerce industry in India needs to brace for the coming of a lull in transactions, which owes its origin to a notification from the Reserve Bank of India. According to the notification, it order to enhance the security of online card transactions, it will become mandatory from August 1st 2009 onwards, to provide: 1. A system of providing for additional authentication/validation based on information not visible on the cards for all on-line card not present transactions except IVR transactions. 2. A system of "Online Alerts" to the cardholder for all "card not present" transactions of the value of Rs. 5,000/ and above. Implications Travel Portal Cleartrip recently set up a page to help its users register at various bank sites for Verified by Visa and Mastercard Secure verification norms which banks in India are adopting in order to comply with point 1 mentioned above. Hrush Bhatt, co-founder, Cleartrip, told MediaNama that for completing transactions, merchants will have to re-direct consumers to bank sites, which will require the additional password for verification of payment. For methods that involve redirection, payment failures are around 10 times more. Bhatt said that though the RBI circular is correct in spirit, but the manner in which this is being implemented, is going to cause disruption for customers and merchants. Cleartrip is gearing up for at least a 2-3 week disruption, "when people won't know what this stuff is. Hopefully, after that people will enroll." ICICI Bank is planning to mandate usage of these additional…

Please subscribe/login to read the full story.
Written By

Founder @ MediaNama. TED Fellow. Asia21 Fellow @ Asia Society. Co-founder SaveTheInternet.in and Internet Freedom Foundation. Advisory board @ CyberBRICS

Free Reads

News

Paytm has tried to distance itself from Paytm Payments Bank due to the regulatory scrutiny.

News

This amendment widens the scope of those allowed to delete records pertaining to the direction of interception from law enforcement bodies to other authorities...

News

Pensioners can now use bank passbooks instead of mobile or Aadhaar for identity verification.

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

Notably, Indus Appstore will allow app developers to use third-party billing systems for in-app billing without having to pay any commission to Indus, a...

News

The existing commission-based model, which companies like Uber and Ola have used for a long time and still stick to, has received criticism from...

News

Factors like Indus not charging developers any commission for in-app payments and antitrust orders issued by India's competition regulator against Google could contribute to...

News

Is open-sourcing of AI, and the use cases that come with it, a good starting point to discuss the responsibility and liability of AI?...

News

RBI Deputy Governor Rabi Shankar called for self-regulation in the fintech sector, but here's why we disagree with his stance.

You May Also Like

News

Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

Advert

135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...

News

By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...

News

Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ