The PSD2 regulation

The revised Payment Services Directive (PSD2) is the latest version of the Payment Services Directive, a European regulation requiring Strong Customer Authentication (SCA) to make online payments in the European Economic Area (EEA) more secure.

Who needs to be compliant?

PSD2 applies to banks, not merchants. This means that issuing banks must refuse transactions that are not complying with PSD2. 

Tip: As a merchant, make sure your transactions comply with PSD2 SCA regulations to avoid the risk of refused transactions by issuing banks.

Are your payments affected?

Answer a few questions and check if your transactions fall under PSD2 Compliance guidelines.

Out of scope transactions

Out of scope transactions are transactions not covered by the PSD2 regulation. This means that issuing banks won’t apply strong authentication and guarantees that shoppers won’t be presented with an authentication challenge, unless you specifically ask for 3D Secure in your payment request. 

Stay PSD2 compliant

Adyen takes care of the majority of the complexity for you by routing in scope transactions to 3D Secure when required. 

If any of the below is true, then you’re already fully prepared for PSD2:

• You use 3DS 1 or 2 via Adyen.
• You use 3DS 1 or 2 via another provider such as Cardinal Commerce.
• You’re integrated to Adyen via Drop In, Pay By Link, or HPP.

You’re integrated with a plugin such as BigCommerce or Shopify.