Credit Card Processing Update from PayGate Payment Gateway
Hope that business is growing for you like it is for us here at PayGate up 49% on same month last year. Here's my latest take on internet and mail order credit card processing for you. Keeping you up to date on enhancements and changes affecting merchants in the credit card industry.
INCREASING RELIABILITY
In line with our mission for increased reliability for you, while you were on holiday, we at PayGate were upgrading our database servers to ensure that we have more than enough capacity to safely store the increasing amount of useful information for our merchants to be able to access at the click of a button. We have also enhanced our remote location backup servers to ensure that your processing will continue in the face of adverse conditions.
REDUCED RISK WITH 3D SECURE
I am pleased to report that SecureCode and Verified by Visa are working well and have significantly reduced or eliminated fraud for our merchants. There is also increasing cardholder awareness as the banks advance their implementation of it. Standard Bank is complete for issuing and acquiring and ABSA, FNB and Nedbank are making good progress with their implementation. Increasing cardholder awareness is increasing the success rate of 3D Secure transactions.
BLOCKING THE FRAUDSTERS IN THEIR TRACKS
More and more of our merchants are opting for our blacklisting service where they can blacklist a fraudulent card to block it from processing further transactions on their site.
SEPARATING 3D FROM NON-3D TRANSACTIONS
To clearly distinguish between 3D Secure transactions (entered by the cardholder using PayWeb) and traditional mail order transactions (entered by the merchant using PayPoint), Standard Bank has insisted on two separate merchant numbers for each. This is to separate 3D Secure transactions that cannot be charged back by the issuing bank unless there is a product or service delivery dispute, from PayPoint (MOTO) transactions which can be charged back by the cardholder or the issuing bank.
A WORKING EXAMPLE IN THE AIRLINE INDUSTRY
A good example is airlines in Africa and South Africa who have been hit hard by fraudulent credit card purchases. In one case up to R5m per month in fraudulent ticket purchases, and in another case an airline closed down and was left with over R300,000 in chargebacks as a result of fraudulent credit card ticket purchases. Air Namibia is a success story and was one of the first, if not the first airline in Africa to successfully implement Verified by Visa and Master Card Secure Code with PayGate. Keni Abrahams of Air Namibia is reports that they have not had one fraudulent credit card transaction with the new PayGate SecureCode credit card processing system.
INCREASE IN CREDIT CARD TRANSACTIONS SIZE AND VOLUME WORLDWIDE
This past year, PayGate has seen top end credit card transactions of up to R713,000 per single transaction and average ticket values (ATV) rising in February 2008 to around R650. There is a definite trend to more extensive use of credit cards on the internet as consumers become more comfortable with using their cards online and for larger purchases, particularly in the Travel and Tourism market internationally. A recent Nielsen Company Report shows that over 875 million people shopped online worldwide in 2007, up 40% on the same survey conducted two years prior. The introduction of Verified by Visa and Master Card SecureCode, has significantly reduced the risk internet credit card merchants are experiencing with their merchant facility. Nielsen also reports that credit cards are by far the most common method of payment for online purchases. Over half of the purchases were done with a Visa card.
Well, that's all from me for this month.
If we are doing your processing for you, we continue to work on your increasing success in the credit card payment area.
If you are not, look no further . . we can provide you with the most effective solutions for improved and increasing credit card processing and revenues.
Enjoy your day today
Robin and the PayGate Team
Date Created: 2008-03-11 |
|
|
