Entersekt and Stanchion Team to Enhance Payment Integration

Authentication software company Entersekt has launched a partnership with South Africa-based PayTech solution provider Stanchion.

The partnership is aimed at “enhancing payment integration capabilities and delivering cutting-edge solutions to financial institutions worldwide,” the companies said in a Wednesday (May 21) news release.

The collaboration combines Stanchion’s tools for “modernizing, transforming, and accelerating innovation within payment systems” with Entersekt’s 3-D Secure payment authentication solution, which provides transaction authentication across all three domains: the merchant acquirer domain, the card issuer domain and the interoperability domain.

The release notes that the Entersekt access control server has provided results such as a 70% reduction in card-not-present fraud within one month, a 54% increase in conversion rates over six months, and a 149% growth in transaction value within the first year.

“With features such as out-of-band, biometric, and silent authentication, Entersekt’s solution ensures strong authentication and adaptive risk intelligence, enhancing customer experiences and reducing cart abandonment,” the companies added.

PYMNTS spoke recently with Entersekt CEO Schalk Nolte about the holistic approach financial institutions (FIs) need to take toward scam protection.

That means employing behavioral analytics and other risk signals to figure out the context and effectively beef up defenses as needed to protect consumers and ensure the best payment experience possible. And that’s not easy, as eCommerce and banks are intertwined.

“The human remains the weakest point of attack, and it’s a scary world out there,” Nolte said.

In the post-pandemic age, banks have come around to engaging more often with customers to increase security. Many FIs have adopted two-factor authentication, push notifications or FIDO passkeys.

“They have all these things, but they are not integrated,” Nolte said. “Every single type of attack requires a different response and a different approach.”

Scammers have gotten good at impersonating bank employees using phone and text to convince their victims that they need to make a payment now, the report added. And human nature might cause those targets to panic and give in to pressure.

“The bigger the bullet, the thicker the armor that is needed,” that report concluded. “The thicker armor is built by a layered approach to verifying transactions and individuals.”