Transactions up to a certain € value, dependent on the PSP’s overall fraud rate (see table), up to €500, are exempt from SCA. For transactions below €30, no SCA is required. However SCA will be required if five or more exempt transactions have been performed on the same card or payment method in a 24-hour period, or if these exempted transactions total more than €100.
If PSPs are able to determine that a transaction is Low Risk by using Transaction Risk Analysis (TRA), and their aggregate fraud rate is low, they may request an exemption from SCA, enabling frictionless payments, such as a one-click payment, for a better user experience.
In order to use the TRA exemption, the PSP must have sophisticated fraud monitoring tools that enable it to monitor fraud rates and transaction characteristics across its entire portfolio, on a real-time basis.