The Verified by Visa website provides online customers with a way to reduce theft and fraud during Internet transactions. This service requires a one-time activation that confirms customers' identities in real time and allows them to create a password for use at any retail service using Verified by Visa.
Consumer benefits that come with shopping at Verified by Visa online retailers include increased confidence in the security of their cards. When logging into these retail websites, customers are asked to confirm their Verified by Visa information to ensure their cards aren't being used fraudulently. This provides an added layer of security when making Internet purchases and reduces the chance of surprise charges when credit card statements arrive each month.
The benefits of merchants using Verified by Visa include improved transaction security, which builds trust with customers. Since customers' identities are guarded by a special password and other information that only individual customers would know, use of this service reduces chargeback handling costs that arise due to unauthorized use of customers' cards, and a streamlined dispute process reduces the risk of invalid chargebacks being processed by the retailer. Merchants also may see a drop in transaction fees due to the secure transactions this service provides.