FRAUD MANAGEMENT STRATEGY
Does SCA make fraud screening unnecessary?
No, remember out-of-scope and exempt transactions
Since SCA doesn't apply to all transactions, your only protection for out-of-scope and exempt transactions is to continue to screen them for evidence of fraud. In fact, fraudsters may focus on these transactions more than ever before.
Plus, you’ll need fraud screening to qualify for the low-risk exemption
Your acquirer can only apply the low-risk exemption, if their cumulative fraud rate remains below a specific threshold. They'll expect you to play your part with low fraud rates of your own, irrespective of whether you're ultimately liable for chargebacks. And card schemes will continue to require merchants to remain below scheme-specific fraud thresholds.
And don't forget fraud management best practices
There's a reason why experts recommend multilayered, cross-channel fraud prevention and warn against relying too much on any single authentication or fraud screening method. Cybercriminals are not known for giving up easily, so while SCA is an important tool in the fight against fraud, it's no substitute for a strategy that combines SCA with active fraud screening.
For more information on SCA and why fraud screening remains vital, read our guide .