Visa tackles web fraud worry

Visa is rolling out a new online payment protection system for consumers, which it hopes will help stamp out online fraud.

Verified by Visa requires the cardholder to provide a personal password when paying with their Visa card for good on the internet.

Over 10,000 retailers, 50 acquiring banks and 54 issuing banks across Europe have already signed up for the scheme. MasterCard also offers a similar system called SecureCode.

According to a Visa report in to the attitudes of Britain's web users, 20 per cent of surfers have never made an online purchase, with 51 per cent of those saying it was because they were concerned about placing their card details on the net.

Even existing online shoppers have concerns about the safety of shopping online with one in five only buying over the internet as a last resort.

According to Visa, by asking the cardholder to prove that they are who they say they are, Verified by Visa will dramatically reduce cardholders exposure to fraud.

Hugo Bottellier, vice president at Visa Europe said: "Online shopping is a growing phenomenon, but even regular internet users need greater reassurance that their transactions will be safe and secure.

“With the added layer of security provided by password protection systems such as Verified by Visa, shoppers can rest assured their card can only be used with their authorisation. This alone should help stamp out the vast majority of fraud which occurs on the web and take us a step closer to make the internet a fear-free zone for shoppers. "

To find out more about Verified by Visa contact your issuing bank or visit www.visaeurope.com/verified. To find out more about Mastercard SecureCode, visit www.mastercard.com/securecode/sc_issuers_new.html.