RBI seeks to stem credit/debit card fraud, makes online payments more secure

RBI has taken this step for additional security of online transactions and to control and prevent credit card frauds.

The latest guideline requires the cardholder to obtain a 3D-Secure password to transact with any 3D-Secure merchant sites in India.

The process of obtaining the password is, however, not intimidating. All one needs to do is log onto his/her bank's website or contact them to complete the one-time registration formalities which includes issuance of a password that will be known only by the cardholder. This password during the registration process will be needed whenever the cardholder makes an online transaction thereafter.

After August 1, 2009, if a cardholder attempts to make any online transaction which requires payment to be made by debit or credit card, the cardholder will be directed to enter his/her card details during the payment process, following which he/she will be redirected to his/her bank's VBV/ Master Card Secure authentication page where the cardholder will be prompted to enter the 3D-Secure password.

Upon successful authentication, the cardholder will be redirected back to the website where he/she had made the transaction.