Mobile devices are rapidly becoming the hub of people’s connected lives. As more and more people are using them for online shopping and browsing, mobile devices have additionally turned into a new payment technology. Consumers enjoy the convenience factor of mobile payments: Why should they carry a wallet and a mobile device if their mobile device can be their wallet? However, as mobile payments take hold the most important question is if they are safe enough to be entrusted.
Safety challenges of Mobile Payments
Whenever a new payment technology is introduced, new challenges arise as well. The most apparent safety concern with mobile payments is the protection of personal data like PINs, account numbers, security codes, and passwords etc. Mobile devices can be used by shoppers to make a payment at the physical POS instead of using a credit card or in order to bring the convenience of online shopping to the mobile phone.
There are many different technologies that can be proposed for a mobile payment at the POS. However, the contactless technology Near Field Communication (NFC) is emerging as the standard. NFC payments are based on the Europay, MasterCard and Visa (EMV) standard. The main challenge for contactless payments lies in standardization and integration, as hundreds of new devices with different ways to access payment information hit the market every year.
Furthermore, with mCommerce shoppers can use their mobile devices to initiate payments remotely without being in the physical store or even in the same country as the merchant. Those payment types rely on software-based security. As today all types of applications can be executed with our mobile devices, they are imposed to viruses and malware; even increasingly with the continuous growth in adoption and penetration of mobile payments.
Safety in Mobile Payments is not starting from zero
No doubt, there are certain issues that must be addressed to ensure the safety of mobile payments. The good news is that the industry is not starting from zero. The payments industry requires all entities that process transmit or store payment information to adhere to the Payment Card Industry Data Security Standards (PCI DSS) and the fundamental principles behind these standards also apply to the mobile space. Service providers will be continuously challenged to update security measures and consumer education will be a critical element to secure mobile payments in their further development.
Safe Mobile Payments with PAY.ON
PAY.ON provides an omnichannel platform for payment transactions, enabling payment service providers/independent sales organizations to open the door to mCommerce and mPOS transactions, besides eCommerce, for their merchants. Additionally, PAY.ON delivers tailored fraud protection solutions effective for every channel like OneClickSafe, device fingerprinting, dynamic checkout and maintains PCI DSS Level 1 Compliance, which is the highest level of compliance within the PCI DSS.