Strong Customer Authentication (SCA) requirements officially went into effect on September 14th, 2019. On October 16th, 2019, the European Banking Authority announced that the new SCA requirements should be fully enforced by 31 December 2020.
As of June 25th, 2020, most European regulators have agreed to this new timeline, with one exception: the UK. The UKs regulatory Financial Conduct Authority (FCA) had previously announced an 18-month delay – requiring additional authentication for online payments beginning March 2021.
In the exceptional circumstances of the Covid crisis, the FCA gave notice in May 2020 to UK industry of an extension to the earlier deadline providing an additional 6 months to implement strong customer authentication (SCA) for e-commerce.
After the newer September 14th, 2021 deadline, any firm that fails to comply with the requirements for SCA will be subject to full FCA supervisory and enforcement action. Therefore, UK firms are required to take all necessary steps to comply with the revised detailed phased implementation plan and critical path to avoid the risk of enforcement action.
In the meantime, leading FinTech and Payment Gateway providers firms including Cardstream have continued with the necessary preparatory activities such as the provision of sandbox testing environments so that their partners and merchants can complete the robust and very necessary, end-to-end testing.
If you take away anything from this article, please note.
As FinExtra reported yesterday, the travel industry is just one the industry verticals having to work against the EU deadline as opposed what’s in place for the UK.
If you’re payment gateway provider isn’t helping and supporting your readiness for looming SCA deadlines, please call 0345 009 9575 or contact email@example.com today.