With the emergence of eCommerce stores and the rise of m-commerce and eCommerce transactions, cybercriminals and hackers have an abundance of opportunities to wreak havoc. Therefore, all merchants must ensure that they offer the very best payment security to consumers, to protect their important data. eCommerce stores have a duty to their consumers to ensure the purchasing process is streamlined and there isn’t any risk of fraud during the checkout.
Hackers and data thieves have knowledge about how new technologies operate and most importantly how to target their vulnerabilities. This is the reason why all eCommerce businesses must try and secure their payment processing by reducing its most vulnerable parts. For that, they need to learn about the different types of payment security solutions available, which include:
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Address Verification Service
This is a great solution that asks customers to give the billing address that is linked with their credit card for further verification. The transaction will only go through once there is a match with the address in the bank documents and the one on the card.
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3D Secure
This is another payment solution that is highly effective in preventing fraud for online debit and credit card transactions. It offers several benefits, including additional protection for transactions by creating a secure password for the credit card of the shopper. There is an additional layer of security, as all transactions will be verified with this password, which decreases the rate of fraudulent transactions.
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Tokenization
This technology offers a secure payment process and significantly boosts payment security. A token will be created to replace sensitive information of customers and allows easier customer authentication. It decreases the risk of data breaches since even if data thieves acquire the token number, it’s going to be worthless for them.
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PCI Compliance
PCI Compliance is necessary for all eCommerce stores that are processing payments on their website. It informs merchants how they should secure sensitive data that is used in payments and focuses on data encryption for payments to ensure that real card data can’t be seen during processing. PCI compliance allows for greater security improvements, as it helps reduce the risk of data and payment fraud, which can be damaging for the reputation of a brand.
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SSL Protocol
You’ll need to get an SSL protocol for your website to ensure that the website is completely secured, as it has become standard operation for eCommerce stores and will increase your online reputation. This payment security solution ensures that all sensitive data and credit card details are protected, which helps you build credibility with your consumers.
Preventing Fraud
All eCommerce merchants must understand that the amount of vulnerabilities they’ll be facing is only going to increase in the future, which is why they must be prepared for all types of fraudulent activities. This also means complying with the risk, security, and payment standards of the countries your business is operating it. One of the main problems for online business owners is payment fraud, and even financial businesses have found it challenging to deal with.
It’s difficult to eliminate fraud in the eCommerce world since there are so many vulnerabilities and it can happen at any time. It also affects your credibility with customers and is expensive to deal with. However, as a business, it’s your responsibility to ensure that cybercriminals don’t steal sensitive data or customer information. That’s easier said than done, as a study on Identity Fraud in 2016 found that over $113 billion have been stolen by cyber thieves in the last 6 years.
This is mainly down to the rise and popularity of mobile commerce and eCommerce websites, which have been targeted by these criminals, who engage in fraudulent activities like using services without paying, putting in fake requests for refunds, and unauthorized transactions. All that has placed greater emphasis on payment security, but even with advancements in technology preventing fraud completely is extremely difficult.
The best way to protect your business from these fraudulent practices is to monitor all your orders before you ship them. You should also ask for a signature on all deliveries to ensure that the right person gets the order. It is also important that you focus on orders that are shipped out to other countries because it’s harder to secure transactions on international orders, which is mainly down to the different banking systems and payment methods of other countries.
Fraud detection is time-consuming and can be costly, but it is a small price to pay considering the impact it will have on the reputation of your business and your brand.
