3D Pin - no benefit?

[Clodbuster]

I always thought that an order accompanied by acceptance of the online pin or 3d pin would render that transaction secure. Unfortunately not so as I've just had a clawback on a substantial order. Retailer loses out again.

I'll argue the toss but expect to lose.

 

[wdog5555]

I think it does vary depending on the acquiring bank or card issuers T&C's?

If you shipped the goods to the registered card address I'd imagine you should be protected and able to challenge the charge back, if you shipped to another address it depends on the T&C's of the card issuer!

It's a bit of a fecker, I've had a few '3D Secure' transactions that have been fraudulent (luckily, I've spotted them before the order was sent!).

 

[Nathanto]

I always thought that an order accompanied by acceptance of the online pin or 3d pin would render that transaction secure. Unfortunately not so as I've just had a clawback on a substantial order. Retailer loses out again.

This doesn't make sense, the whole point of 3D-Secure is "liability shift" (from the merchant to the card provider if the customer says they didn't authorise the transaction.)

Since introducing 3D to one of our sites we have never had a clawback after processing thousands of transactions.

Are you sure the transaction was 3D-Secure authorized? What was the reason given for the clawback?

 

[PaymentsExpert]

As long as the transaction was authorised correctly the liability should have shifted away from you. 3D Secure does protects you from most fraud-related chargebacks, (unfortunately not all) but it does not remove the requirement for goods and services to be provided as agreed and therefore you can still receive goods and service chargebacks and you will still need to respond to any requests for information.

Part of the problem is that 3D secure has been promoted as if it gives merchants a 100% full liability shift when it’s used but the more you dig into the terms of this the more watered down it becomes. In fact on a wider note I still can’t believe that there isn’t a bigger back lash against the Merchant Service industry for the fees it levies. Merchants pay outrageous fees to process payments, and often aren’t given the protection they deserve.

What was the reason code associated with the chargeback maybe I can offer some advice?