Strong Customer Authentication (SCA) is coming into effect in Europe on the 14th of September. It’s a part of the second Payment Service Directive and will affect how European users authenticate their online payments. You may read more about the changes SCA will enforce and how they can affect your business in our recent post. The most crucial point for businesses is that transactions that don’t follow new authentication guidelines will be declined by your customers’ banks. As a result, some customers may drop off. However, Stripe has already prepared for Strong Customer Authentication by providing updated products and APIs.
Stripe Strong Customer Authentication Updates
Because SCA comes into effect soon, Stripe updated its APIs and created some new products. These changes will help to provide better user experience for your customers and keep your conversion rate high.
How is it possible? Some low-risk transactions won’t require authentication. For example, payments below 30 Euro or recurring payments of the same amount to the same business. Therefore, Stripe Strong Customer Authentication updates are providing a way to request authentication only when absolutely necessary.
Stripe integrations that aren’t SCA-compliant will have high rates of declines once SCA comes into effect. Therefore, every company using Stripe should update its integration to support changes and meet the requirements of Strong Customer Authentication. That’s why Stripe has SCA-ready products that let update integrations for upcoming regulations,
Stripe SCA and ClickFunnels
Now, how all of this affects ClickFunnels users and which backup plans they can take? ClickFunnels is #1 funnel building software which is really easy to use, and you can check it yourself by starting a FREE 14-day trial. The updates Stripe rolled out in terms of SCA require its partners to update their APIs. It may not have any effect on your business if you don’t have any European customers. Companies like ClickFunnels are actually required to update their API to offer Stripe for their customers in the future. Unfortunately, there wasn’t any news from ClickFunnels on this topic but they’d need to make required updates before the 14th of September. The company like ClickFunnels will, for sure, have a solution for this although it never harms to think about a backup plan.
You can have a look at PayKickstart which gives you a FREE 14-day trial to click around and test all the functionality. If you’re using PayKickstart to handle payments, you’re having funnels in ClickFunnels but your checkout pages will be in PayKickstart. Organizing your funnels this way has a lot of benefits and therefore is worth considering. You may read more about the features PayKickstart offers its users and its advantages over ClickFunnels checkout process here.
In order to be prepared for the SCA you should determine if your business is affected and implement updates to avoid declined payments.
Were you aware of Strong Customer Authentication? Is your business impacted by the new regulation? Share in the comments!