eCommerce Card Fraud – Visa CodeSure to the rescue

Giving all the anti-fraud mechanism put in place by banks and credit card companies, you would think online fraud and credit card fraud will be a thing of the past. Card fraud seem to behave like a badly laid carpet underlay, you push the air out in one end and it pops up at another end. At least on the credit card front, a new Hi-tech card by Visa seem set to dramatically reduce credit card fraud if not eliminate it outright.

The new Visa card comes with a built in keypad and LCD screen, the new card is called Visa CodeSure. CodeSure is exactly the same size as a standard credit card but it features a tiny screen above the signature strip and 10 pressure keypads which card owners can use to input pin number.

Visa CodeSure has undergo extensive trials in Europe, Visa is not confident enough that the it is giving the banks the go ahead to start rolling it out to their customers very soon. Visa CodeSure will replace the cumbersome card reader that is in current use, instead of carrying a card and a card reader, you have it all rolled into one small credit card. The main security feature of the new card is the fact that it generates random authorisation code for each transaction instead of inserting preprepared password which is the way the current Verified by Visa system works. Visa CodeSure is expected to replace verified by Visa system once the roll out of the new card is completed.

Verified by Visa is said to have help online card fraud continue to fall, last year, £266 million was lot to card fraud which was a reduction of 19% over loses due to fraud the previous year.