3D Secure Verification FailedWhy Didn’t This 3DS Payment Go Through & How Do You Recover the Sale?
In a Nutshell
This section explains the common causes of 3DS authentication errors, clarifies what liability protection you actually receive (and don't receive) from 3DS, and outlines practical steps for diagnosing and resolving failures when they occur.
This 3D Secure Verification Attempt Failed. How Can I Fix the Problem?
A failed 3DS authentication puts you in a really difficult position.
If the issue can’t be quickly resolved, then the transaction can’t proceed with liability protection. So, you have to choose between declining the sale or accepting the payment at your own risk. Obviously, neither option is ideal.
Authentication failures happen for a few different reasons. Some are within your control, but others aren’t. Technical misconfigurations, cardholder errors, and issuer-side outages can all interrupt the process. Understanding why these failures occur is the first step toward reducing their frequency, and handling them effectively when they do happen.
3D Secure
Is 3D Secure the security solution you’ve been searching for or a one-way street to higher friction and abandoned carts? Here, we’ll explain everything you need to know about 3D Secure: what it is, how it works, how it’s branded differently across each card network, why you need it… and why it won’t be enough on its own.
Why Did a 3D Secure Authentication Error Occur?
An “Authentication Failed” response typically indicates an error in the details entered by the customer. This could be related to card details, such as the wrong card number, expiration date, or an incorrect authentication passcode.
In this case, the customer's card provider will halt the payment and impede further transaction progress. This protective measure deters fraudsters.
The cardholder may retry the authentication process to correct the error. If the customer has verified their card details and fulfilled the correct 3DS security conditions, but still encounters a failure message, they should reach out to their card provider for assistance.
It's crucial to remember that certain browser extensions may disrupt the 3D Secure page's functioning. For instance, pop-up blockers could hinder the 3DS page's performance. Deactivating browser extensions, or attempting the payment through a different browser, could then resolve the error message.
How to Fix a 3D Secure Authentication Error
When a 3DS authentication fails, the first step is identifying what went wrong.
You need to review the error response from your 3DS server. Pay attention to the transaction status and any error codes returned, as these are going to be critical details later.
Failures generally fall into one of three categories: technical issues (timeouts, server errors), cardholder authentication failures (incorrect passcode, expired OTP), and enrollment problems (card not registered for 3DS). The ECI indicator in the response can help pinpoint where in the process the failure occurred.
Does 3DS Make a Transaction "Chargeback-Proof"?
Unfortunately not.
This is a common misconception. The 3DS2 protocol has proven to be a highly effective fraud deterrent. However, this only applies to chargebacks designated with a “Fraud” reason code.
With Visa transactions, for instance, 3DS would prevent chargebacks from being filed using reason code 10.4 — Other Fraud: Card-absent Environment / Condition. However, the transaction could still be subject to disputes filed using a “Processing Error” or “Customer Dispute” reason code.
3DS can be very effective at stopping third-party fraud. However, it does nothing to prevent first-party fraud, which makes up the bulk of the average merchant’s chargebacks. First-party fraud happens post-transaction; authenticating the customer prior to purchase doesn’t help if the fraud occurs after the fact.
3D Secure is a great tool, but it works best as part of a multi-level fraud and chargeback management strategy. This calls for deploying multiple complementary tools, all backed by fraud scoring, which will allow merchants to automatically decline orders that present too much risk. This, coupled with optimized policies and best practices, will go a long way to help protect business against fraud and chargebacks.
Learn more about chargeback managementInterested in learning more about 3-D Secure? Or, have questions about any other aspect of chargeback management? Contact Chargebacks911® today.
We can show you how to take chargebacks completely off your plate and increase your ROI. Help is just a click away.
