What’s the important news?

Visa introduced a new framework for Merchant-Initiated Transactions (MIT) to identify transaction intent and cardholder participation in the transaction. Any transaction initiated by merchants as a follow on to an initial Cardholder-Initiated Transaction must follow the MIT framework to benefit from higher authorization rates and successful processing of subsequent MIT’s.

Visa also announced requirements for its Stored Credentials framework, to identify initial storage and subsequent use of payment credentials by merchants. Following the authorization rules defined as part of the framework for all Credential-on-File (COF) transactions is expected to result in higher authorization approval rates. It also is required for merchants to benefit from participation in the Real Time Visa Account Updater. Real Time Account Updater service enables merchants to get updated card information as part of authorization message in real time.

In late 2021, Mastercard revised their MIT framework to include 8 use cases - similar to Visa MIT framework but with some different nuances. Visa released their MIT framework mandate back in 2017. Previously, Mastercard only required COF indicator to comply to their Stored Credential mandate. In EU, the Mastercard Trace ID (transaction ID) was also required for all subsequent transactions.

Key Takeaway

Both mandates require merchants to upgrade their integrations with Visa Acceptance Solutions (including Cybersource). This also applies to commerce server integrations: cartridges, modules, plugins, etc.

IMPORTANT 

The information provided herein addresses the steps we are taking in response to the relevant mandate. Your organization is independently responsible for its compliance with the mandate and it is incumbent on your organization to review any requirements of the mandate that may apply to it, which may include requirements not addressed by our changes outlined herein.

For details, please refer to the files under Attachments (below) containing:

• Tokenization and RB MIT COF FAQ_v7.pdf
• Online Support Article_MIT COF all brands V6.pdf

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