Security Controls and Risks in Digital Payments: Why Choose a Good Payment Processor?

According to Juniper Research, the number of electronic wallet users is projected to exceed 50% of the global population by 2024. Furthermore, Statista predicts that by 2023, citizens will invest up to 6.7 trillion US dollar on electronic payments. Finally, according to e-Marketer, over a million people worldwide will be utilizing online mobile payment technology by the end of 2023.

All of these statistics indicate that retailers must have digital payments in their catalog of payment solutions if they wish to reach a larger engagement. With the pandemic affecting the approach we disburse payment, there's just no other way.

Merchants, on the other hand, must be mindful of the myriad risks and fraud patterns that are thriving in online marketplaces.

Digital Payment Risks

Social technology

According to a 2019 study by the European Payments Council, social technology is on top of the chart of automated digital payment risks. Social technology, by itself, is a "form of persuasion." It occurs when a scammer tricks a target into doing something that jeopardizes the confidentiality of his sensitive payment information. People are willing to believe others, so this approach works. As a result, it is simpler to convince others to violate secrecy than developing cutting-edge technology to target a person's machine or computer.

Scammers use a variety of techniques to deceive virtual victims. Phone calls, letters, and social networking websites are examples of these sources.

Phishing and scams are the two most popular social engineering tactics. They are both attempting to persuade consumers to share their payment information. They also utilize the "urgent" tactic to exert social strain on individuals to force them to do something they might otherwise do in different conditions.

Malware

Malicious software, also known as malware, is any software that uses third-party machines in order to intercept or mess with confidential data. It appears in a variety of sizes and shapes. And, as scammers become increasingly tech-savvy, detecting and preventing malware threats becomes more complex.

Some programs are relatively "secure" for the consumer, for the sole purpose of collecting and storing data regarding the user's actions. However, several applications are designed to secure data and keep it captive for ransom.

Hence, some of the most popular forms of malware programs are spyware, adware, and Trojan.

Virtual mobile attacks

With new user's reliance on a portable device, cybercriminals are venturing into mobile app theft. It is less safe, making it a simple target for scammers. In reality, at least 38% of iOS apps and 43% of Android programs are deemed "vulnerable." Furthermore, with smartphones, the scammer would not need direct access to the device to steal confidential data.

Generally speaking, most cyber threats are the result of consumer inattention or a number of minor flaws in various parts of the smartphone device.

We'll discuss alternatives to this issue later. Still, for the time being, we believe it is important that our readers trace these virtual threats.

APT

APT (advanced persistent threat) is often considered as a form of malware by some people. And there is some merit to that. APT is a targeted assault against a particular object, which may be a person, an organization, or application. It intends to respond to defensive tactics and update technology when they emerge. The attacks' objectives differ. However, because APTs are often directed at public bodies and security firms, they are synonymous with cyberespionage.

Cryptojacking

SMS communication danger

It seems that everyone has received an email reminding them of a surprising inheritance left to them by a late family member in a place like California. Nowadays , everybody is aware of spam scams. As a result, they do not have faith in them. However, they want to trust in the reliability of SMS communications.

The unfortunate fact is that SMS notifications can be quickly manipulated, and in this modern era, advancements in technology are open to scammers. As a result, users are vulnerable to phishing whenever they share delicate information with perpetrators via text messages forwarded by a number of payment service providers. They seem to instill a sense of danger in the users, making them less anxious to exchange personal information with the attacker.

And as technology advances, swindlers will devise increasingly sophisticated methods to focus on the technologically challenged ones. However, one good news is that you can use different methods and steps to avoid these attacks.

Digital Payment Security Control

Validation and verification of emails

These two steps will help payment processors to identify and avoid email spam and spoofing. The European Payments Council advises using SPF and DKIM as preventive mechanisms, as well as conducting regular advertising campaigns. Aware means armed, which is just what the users want.

Restrictions on the number of applications used

While it can seem clear, given the massive number of apps we use nowadays, the only approach to prevent ransomware is to restrict the volume of installed programs. Just import applications from reputable providers, and note to keep it updated. Outdated applications allow crooks to gain access to your smartphone without your knowledge.

Keep an eye on your smartphone

Not only would this enable you to spot signs of malware that may otherwise be impossible to detect, but it will also help you to monitor any unusual behavior on the system that points to illegal use on your smartphone. Maintain contact with your cell network operator as well. This is especially important if you find network connection problems or no voice calls for an exceptionally long period of time.

Advantages of Using a Good Payment Processor

Evaluating the supplies that a company requires to run properly is a vital business ability. Certain tests are simple, whilst others need some time to complete. It is as simple as accessing the account statement to calculate payment transaction costs. However, the advantages of payment processors are not well known. So, let's take a look at the benefits of using one of the best payment processors, Myuser:

Myuser offers 3DS support. Basically, it is an optional feature after the customer enters their card info. They get SMS verification from their bank and they have to input code into the popup that appears. This decreases chances of fraud because fraudsters need to have both phone and card numbers to make the payment which is very difficult to do so. Moreover, this shifts liability from the merchant to the card issuer. Therefore, if a customer complains and seeks a refund, the merchant is not liable financially. This in turn decreases their dispute rate.
There is no monthly transaction limit with Myuser. This keeps you from having to cap the amount of money you will receive on a monthly basis.
Myuser allows merchants to rely on fast development without being bombarded by problems. Most payment processors hate rapidly expanding companies, and their underwriting is not designed to support them. We do, however, assist high-potential growth businesses by immediately underwriting the business with a computerized monitoring system.
Myuser provides immediate payouts via credit card, so you do not have to stand in a virtual queue to make transactions, collect payments, and spend money!

Final Thoughts

Payment methods, like your company, are rapidly changing. Top payment processors assist companies in staying aware of the payment marketplace's accelerated shifts. Full-service payment processors collaborate with companies at all stages of evolution.

Most third-party providers that resell or offer payment processing are intended for small enterprises in their initial stages. Pioneering payment processors will not only expand with your industry, but can also support you accelerate the development, from founding start-ups to multinational companies on a massive level.

Myuser is a prominent payment processor that assists companies in increasing sales while decreasing costs by streamlined delivery. Start a discussion with one of our customer support experts today and discover more about how we bind companies like yours to the growth of e-commerce in a simple and flexible way.