Research Report

The Dark Side Of PSD2: Fraudsters’ reaction to the EU regulation

In response to emerging technologies, Revised Payment Services Directive (PSD2) was implemented to make electronic payments more secure in Europe. Online merchants are continuously being educated about Strong Customer Authentication (SCA) and its effect on friction and customer drop-off.

Working to adapt to the PSD2 reality, there is another group of users that lurk in the dark, waiting, learning. Fraudsters.

As PSD2 measures are adopted across the EU, SCA will likely reduce "card-not-present" fraud in intra-European transactions. But SCA is certainly not fraud-proof.

This report takes a deep dive into the dark web to surface fraudsters’ response to the new regulation.

Read the report to see:

  • How fraudsters react to SCA
  • Holistic fraud management under PSD2
  • Quantitative analysis of the TRA Exemption