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_Lemon_ | 12 years ago

From my understanding 3D secure would go a long way to help protect against chargebacks. Why not make it optional?

https://support.stripe.com/questions/does-stripe-support-3d-...

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devicenull|12 years ago

That would only help if the customer had enrolled in it (since it's completely optional). It just makes it more difficult for customers to contest fraud transactions, so why would anyone enroll?

_Lemon_|12 years ago

From my understanding is that it lets the customer's bank see exactly who's making the payment and gives them a chance to deny it. The merchant is then protected from fraudulent chargebacks and these are covered by the bank.

Essentially, they get to perform their own fraud prevention and it's a way of trying to improve confidence in online payments.

I believe the idea that it takes away rights from the customer is a misconception (I also think most of these protections are given by law).