The Commission wants to cut down on online fraud by requiring consumers to use card authentication measures like reader devices, to scan their fingerprints or use other biometric checks for purchases that cost at least €30.
Higher value purchases are considered riskier. That means consumers will need to take an extra step to authenticate each purchase before it’s approved.
The EU executive is still finishing its draft of the proposal and will send it to MEPs and diplomats from national governments within the next few weeks, using a fast-track legal procedure known as an “implementing act”. MEPs and member states can either approve or reject the text within three months of receiving it, but cannot make changes to it.
The EU executive has argued that people will be more likely to shop online if they know it is safe. But e-commerce firms claim the legislation will have the opposite effect.