Strong Customer Authentication (SCA) is a rule that requires changes to how your European customers authenticate online payments.
What exactly is SCA?
On September 14, 2019, PSD2 regulation introduced Strong Customer Authentication (SCA) requirements for many online payments made by European customers, to help reduce fraud. To ensure payments aren’t declined, businesses need to build an extra layer of authentication into online card payments, unless transaction-specific exemptions apply.
The impact of SCA on your business can vary depending on the type of purchase, whether you charge a customer during or after checkout, and even which bank your customer uses. Stripe has designed SCA-ready payment APIs and products to help you manage this complexity and minimize the impact of SCA on your checkout conversion.
And is YouLi SCA compliant?
We integrate with payment gateways that ensure SCA compliance. We make sure our integrations with them are up-to-date, so you don't have to read this long answer, but it's here for those that are curious to know more.
Information on SCA-compliant payment gateways
YouLi uses the "SCA-ready products and APIs" provided by Stripe.
By default, 3D Secure authentication is only shown when the customer’s bank requires it, so your checkout conversion is not negatively affected. As of September 14, 2019, your YouLi+Stripe checkout displays the 3D secure authentication flow automatically whenever required by SCA.
We upgraded to the Square Payment Form and the Connect V2 APIs in 2019 to ensure your YouLi+Square checkout is SCA-compliant and to minimize the impact of declined payments.
Our integration with Square will automatically apply for all possible exemptions for low-value and low-risk transactions to reduce friction for your customers while keeping your transactions compliant with SCA. If no exemption applies, we will dynamically trigger a challenge to authenticate the customer.
Need more help?
Reach out to the YouLi support team via a chat box at the bottom of your screen or submit a ticket request. If you need more advanced support, schedule a 1:1 Consulting session with one of our experts, as we will walk you through the features and best practices.