Secure Payment Processing: Everything You Need to Know
Online payments brought such huge convenience that it became the go-to method for many shoppers. It cuts payments processing by a significant amount of time and allows them to transact without having to carry physical banknotes. Purchases can easily be completed in a tap! However, the numerous benefits of online shopping have also introduced a number of cyber threats such as data breach, fraudulent transactions, and identity theft, among other cybersecurity issues. Even big names in the industry have experienced those issues in the past. So, how can you provide a secure checkout experience to customers?
More and more cybercriminals became more creative in their methods of online fraud. This follows the growing number of customers making credit card payments. As a merchant, the responsibility to protect customer data falls on your shoulder. When a transaction is made, the people involved is not just limited to you and the customer but also the credit card provider, the issuing bank, and the acquirer. Having a secure payment processing channel gives you the confidence that any and all information being passed through and from those involved in the process won’t be compromised during checkout.
But, this brings us the question: what does secure checkout mean?
For a payment system to be considered “secure,” it has to pass the standard of credit card providers as well as banking institutes. This also means merchants such as you need to have a secure payment gateway where customer transactions are completed. This not only protects customer data but it also helps you in distinguishing the legitimacy of the purchase.
What is the most secure online payment method?
There is no one-size-fits-all solution to secure payment solutions. In fact, there are several methods to secure payments on eCommerce sites. Let’s take a closer look on each of the following security methods:
- Payment Card Industry Data Security Standard (PCI DSS) Compliance
As previously mentioned, PCI DSS compliance is a must for secure checkout. The PCI DSS have set guidelines to ensure that an eCommerce site is of industry-level security standard. The major credit card brands, including Visa and Mastercard, require online merchants to have updated PCI Compliance for them to be able to process and transmit credit card data to and from payment portals. Note that PCI applications may take some time before it can be approved. You will have to prepare for a long and tedious compliance process to sort this through. An alternative to this is finding a trusted secure payment processor instead. These payment providers will help you get started and will cover any PCI-related issues you might encounter.
- 3D Secure
This security method was pioneered by Visa for the purpose of securing online payments. It is an XML-based protocol which, to put it simply, prompts the customer for a code during a secure checkout whenever they use their card for payments. This information is expected to be only known by the card owner which verifies the identity of the customer and that they are indeed making the transaction by themself.
- Website SSL Certification
Secure Socket Layer (SSL) Protocol is a layer of security that encrypts important data passed on from the customer to your end. These details include credit card information and personal information used during the checkout process. Only you will have access to the sensitive information being passed on to your site. SSL protocol also validates the security of your website which can be more appealing to potential clients visiting your site. A visible padlock icon can be found on the URL bar next to the site’s URL. This will help improve your online store’s reputation as a safe and protected page.
This technology is beneficial in more ways than one. According to PCI guidelines, online stores should not be storing customer data in their servers. Tokenization helps in making it easier to comply with this rule. The sensitive data is translated to random strings of characters which is then linked back to the original data but only by an authorize individual. This security method lessens chances of payment fraud and data breach. When a cyber attacker attempts to steal information from your server, all they would get are random characters that wouldn’t be of any use.
- Fraud Prevention Tools
Investing in fraud screening tools will help your business in many ways. These tools will screen every transaction and will identify indicators of fraud. You can then decide whether to accept or reject the transaction. Be reminded that it is important to process only legit transactions to save your business from chargeback risks. There are secure payment processors who can help you out with anti-fraud tools.
How can I tell if a checkout page is secure?
There are several tell-tale signs on whether a page is secure or not and your customers will be able to distinguish it. As mentioned above, you make sure that your checkout page is secure you need to have either of the following:
- PCI level 1 compliance
- Data encryption through SSL protocol
- 3D Secure checkout
- Fraud scrubbing tools that verify the transaction
How to add secure checkout on-page?
One of the biggest threats brought on by unsecured transactions is fraud. It will not only cause your chargeback rates to go up but it also has the potential to bring your credibility down. Adding a secure checkout page will help you keep your transactions in check especially when dealing with high volume of online payments. Find a reliable expert that understands the importance of secure checkout. They have the utmost knowledge on the best option for secure online payments to apply on your site. Your choice of payment processing partner can make or break your business.
Cashless payments have taken every business by storm but with its glory come to its vulnerabilities too. Understanding how to secure payments work is your first step in improving the security of your eCommerce site. Running a business with a convenient payment method is attractive to customers. Make it even better by having a protected payment gateway. Contact us now and see how we can help.