New payer authentication product uses text messaging

FactorTrust.com next week is launching a product which uses a consumer’s mobile phone for purchase and payer authentication for online credit card transactions.

FactorTrust’s 2.0 Merchant product will include the BuyProtect Text Alert service, which captures, stores and matches the consumer’s mobile phone number to his or her credit card information during the order confirmation process. Under the service, an SMS text message is sent to the consumer requesting verification to proceed with the online order. If the credit card is being used fraudulently, the consumer is alerted immediately.

“Fraud remains a big issue for merchants and consumers,” says Greg Rable, CEO. “We looked at additional levels of protection that help link merchants and consumers in a more proactive and interactive way.”

Merchants can implement the service within 15 minutes, and pay fees ranging between 5 cents and 50 cents, Rable says.