White Paper: PSD2 – How the new directive changes the rules of authentication  

After the proposed phasing of the PSD2 regulation across Europe the task at hand still remains the same when it comes to the implementation of Strong Customer Authentication (SCA). This Experian white paper outlines the new opportunities and risks in payment processes that are presented by PSD2 and describes the innovations that are making SCA work for financial service providers and their customers alike.

With the clear objective of promoting the development of the payments market across the EU – and at the same time driving innovation, competition, reducing costs and, naturally, improving the security of payments and protection for consumers – the Payment Services Directive 2 is introducing fundamental changes to the payment industry.

One of the key changes to take into consideration is Strong Customer Authentication (SCA) which helps prevent fraud (by clearly identifying the client with various personal factors) while it reduces friction in the payment process for the client.