Sellers, please note! New requirements for online shopping in the UK

Recently, the UK has introduced new regulatory requirements to reduce fraud in e-commerce platform consumption. The latest requirement is the Strong Customer Authentication ( SCA ) requirement . Foreign media reported that this will change the way consumers confirm their identity when shopping online.

The so-called SCA will require customers to prove their identity at the time of purchase through two of three "confirmation methods" , such as fingerprint or facial ID , a passcode , and the tool they use to make the purchase, such as a mobile phone.

Foreign media reported that in practice , this may mean that customers are required to make purchases through SMS verification , receive a password, and then be prompted to enter the password on the screen. Other confirmation methods may also include the consumer's own landline or mobile phone, or answering an automated call through an application on a smartphone .

However, there are some types of transactions that are exempt from SCA, which means consumers may not always have to ask customers to complete the extra security step. These exempted transaction types are considered “low risk” purchases for fraudulent activity , such as low-cost items or repeat purchases .

In fact, the SCA requirements were announced as early as September 2019 , but the full implementation was this year. According to foreign media reports, SCA rules have been applied to a small number of transactions for some time .

It is understood that since the beginning of this year, the relevant sellers and payment service providers have made certain preparations ( all transactions must comply with SCA ) , and the proportion of transactions subject to SCA requirements has been steadily increasing.

According to a release from the British Retail Consortium, as more and more consumer activity is done digitally, it is hoped that the SCA will help reduce fraud and better protect consumers and their money when shopping online .

It is understood that the retailers were already prepared for the request and had been preparing systems for months to handle the additional security checks .

The successful launch of the new regulations in the UK has had a certain impact on sellers, service providers, platforms and banks . Domestic sellers must pay attention to whether they comply with relevant regulations when selling goods in the UK.

U.K.

E-commerce

New Requirements