Two-factor verification: changes in 2021 – Two-factor verification for online purchases with credit card | message
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New provisions for online purchases
This year something will change with regard to online credit card payments in Germany, in order to also prevent criminal data theft, among other things. To this end, the banks and credit card operators have adapted their provisions for online payment transactions accordingly.
As of January 15, a two-factor verification will be required for payments of 250 euros or more. This means that in addition to the usual information such as the name of the cardholder, card number and the three-digit CVC2 number, a password or TAN must also be entered in future before payment can be made.
In the following month, on February 15th, this procedure will be necessary from purchases of 150 euros and a further month later – from March 15th – all purchases will be affected.
This will apply to all major MasterCard, Visa and American Express credit cards.
The two-factor authentication
The new method of two-factor authentication will not be possible automatically in most cases. The consumer must take the necessary precautions to activate the authentication process. This is usually done via the online banking portal of the respective bank. In most cases, you can go to Settings> Credit Card> Service / Security to set up the two-factor verification you want.
In addition, some banks require a TAN app for the smartphone in order to link the credit card to this and to receive the newly generated TANs for online purchases. Other banks send the TAN to the cardholder via SMS or use special individual procedures through which the TAN is provided.
Which TAN procedure your bank specifically uses must be clarified individually.
Protection against card fraud
The background to the new procedure is the EU’s payment service directives now applicable in Germany, which are intended to make transactions within the European Union safer for consumers. Two-factor verification, for example, prevents credit card information from being stolen and misused for online buyers.
So far it was sufficient that the name, the card number, the expiry date and the CVC2 code of the credit card could be read and saved by an unauthorized person in order to use this information for later payment transactions on the Internet.
The now additionally required TAN makes card misuse more difficult.
Henry Ely / Forex-news.com.net editors
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