The growth of e-commerce stores and online entrepreneurs has shifted the payment industry to online methods.
Accepting credit cards and other online payment options helps businesses to stay competitive in today’s marketplace.
Though these methods offer many benefits to businesses and customers, they have created new opportunities for cybercrime. Security is a key concern when handling business payments online.
Business owners must be aware of their responsibility in offering safe online payment methods.
A security breach could cost your business and ruin its reputation. Fortunately, there are several ways to secure online payments. This article will discuss the necessary security procedures when handling digital payments.
1. PCI Compliance
Payment Card Industry (PCI) compliance ensures that businesses process, transmit, and store credit card information in a secure environment.
You must comply with the protocols laid down by the Payment Card Industry Data Security Standard (PCI DSS) to avoid legal problems. PCI sets the security standards for digital payment processing.
It sets standards for four business classification levels, depending on size. These levels are:
- Level One: Businesses that handle over six million card transactions annually.
- Level Two: Businesses that handle between one and six million card transactions annually.
- Level Three: Businesses that handle between 20,000 and one million card transactions annually.
- Level Four: Those that handle below 20,000 card transactions annually.
All legitimate card processing providers must provide PCI-compliant services. However, business owners should do their due diligence to ensure that their processing providers adhere to the standards.
2. Use a VPN Service
VPNs limit the possibilities for data breaches by encrypting your online traffic and masking your IP address. A speed VPN for PC will let you handle all your online payments without compromising performance.
VeePN offers complete anonymity and security, lightning-fast speeds, and unlimited bandwidth. Getting more info about what your preferred VPN can offer is vital. Different VPNs have varying capabilities, and it is essential to pick one that meets all your business needs.
Due to numerous providers, choosing the best VPN software for Windows has become a challenging task. One of the best ways to identify a good provider is by reading VPN reviews from credible websites.
Reviews will highlight the key features, pros, and cons and help you choose the best VPN for PC Windows. Moreover, most providers offer a free trial period that lets users test the VPN before purchasing.
3. Use 3D Secure
3D Secure, or simply 3DS, is a protocol that adds an extra security layer for online card transactions. It refers to the “three domains” that use the protocol to interact. They are:
- The issuer domain,
- The acquirer or merchant domain, and
- The interoperability domain.
3DS offers an effective technique for enhancing the security online payment during checkout. It adds an authentication layer managed by the cardholder’s bank.
For instance, if your customer uses Mastercard to pay for products on your online store, Mastercard will handle the last authentication test. The test can involve using biometrics or entering a pin code.
Since the card-issuing institution controls the test, you cannot decide its type. This security layer ensures that the individual using the card is the actual person the card was issued to. However, not all payment processors use this feature.
4. Using Two and Multi-Factor Authentication
Two-factor authentication (2FA) and multi-factor authentication (MFA) use several factors to verify the user.
They are effective ways of enhancing online payment systems’ security. 2FA and MFA are similar, differing only in the number of factors involved in protecting online payments. While 2FA uses two measures, MFA uses more than two.
The European Union’s Second Payment Services Directive (PSD2) governs all e-commerce transactions within the EU.
As part of PSD2, Strong Customer Authentication (SCA) involves implementing 2FA and MFA on online payments.
Authentication options offered in 2FA and MFA include one-time passwords, biometric identifiers, and SMS confirmations.
5. Invest in Cyber Liability Insurance
In the event of a data breach involving sensitive customer information, cyber insurance covers a business’s liability.
Sensitive information includes credit card numbers, Social Security numbers, account numbers, and health records. E-commerce stores handle, store, and transmit sensitive information that customers use to make business payments online.
It is important for any business that handles online transactions to invest in cyber insurance.
This insurance will minimize the financial risks of online payments. Insurance companies allow the policyholder to transfer part of the risk to them for a monthly fee known as a premium.
6. Get SSL Certification for Your E-commerce Website
The Security Socket Layer (SSL) protocol ensures secure payments made through your e-commerce website.
SSL certification shows that customer data is encrypted and thus reduces the risk of a breach through cyberattacks.
Telling whether a website is SSL certified is very simple. An URL that begins with HTTPS has an SSL certificate, and a padlock will also appear near the URL.
Customers are aware of SSL and will avoid sites whose URLs don’t have the padlock and don’t start with HTTPS.
Furthermore, SSL certificates increase your Google ranking position, which is critical for every e-commerce store.
Ranking higher on Google means you will have more traffic to your site, which you can convert into sales.
But how do you get the SSL certificate?
- Create your website using a builder that provides SSL certification.
- Purchase the certificate from a third party.
- Use a payment page or gateway provided by the payment processing company.
7. Select a Secure E-commerce Platform
There are many factors to consider when choosing an e-commerce platform, such as pricing, SEO friendliness, integrations, and customer service.
When evaluating these factors, remember the platform’s security. No client will want to provide card and account information on a suspicious website.
As much as your business complies with safety and security requirements, ensure that all your third-party providers do the same.
According to Business News Daily, attempts to breach e-commerce websites are key concerns for online businesses.
Online entrepreneurs must thoroughly vet the platforms and third-party providers they work with. They must ensure that their payment systems’ security is top-notch.
8. Use Tokenization
Tokenization replaces sensitive data, such as credit card and account numbers, with random strings called tokens.
It adds a security layer that ensures the safety of customers’ payment information. Cybercriminals can use the tokenized data even if they gain access to it.
Mobile wallets like Google Pay, Apple Pay, Android Pay, and Samsung Pay use tokenization to secure online transactions.
As a result, the worldwide tokenization market is expected to grow at a CAGR of 13 percent and hit 2.71 billion US Dollars by 2028.
The desire for online stores to comply with regulations and provide delightful customer experiences has also contributed to the growth.
Conclusion
As entrepreneurs and businesses move to online stores, digital payments are becoming the norm. Business owners must up their game and provide secure online payment options.
A data breach can be costly to a business and ruin its reputation. This article discusses how entrepreneurs can secure their business payments online.
