According to the National Danish Statistics Office a significant problem for vendors in relation to selling products to Danish customers via the Internet has been the inability to use the very popular national pay card Dankort.
Dankort is a credit card provided by PBS - the Danish Payment System - which has issued approximately 2.6 million Dankort.
Until April 9 1999 the providers of the Dankort were not allowed to collect any of the costs involved in running an Internet payment system from users. PBS had therefore decided not to have the Dankort as a pay card option on the Internet. However, a change in the Danish Act on Credit Cards was made on April 9 1999 enabling PBS to collect running expenses from users.
Individual Internet businesses can now chose between two systems: SET (Secure Electronic Transaction) and SSL (Secure Socket Layer). The price per transaction is 1.95 DKK for the SET solution and additionally 0.15 % of the sales price for the SSL solution. The transaction costs can be collected directly from the buyer as long as proper information is given. SET is considered the most secure and furthermore the cheapest solution to use.
To be able to conduct business via the SET or SSL standard, an Internet business must obtain a SET or SSL certificate. Furthermore, the SET solution requires that the customer has a SET certificate and an electronic wallet. A fee for the setting up and subscription must be paid by the Internet business, and the business will obtain a cashing agreement.
Since the Dankort is so widely dominates the Danish pay and credit card market, there are great expectations for its introduction on the Internet.