To build trust with your customers and guarantee risk-free payments, be sure your payments provider integrates the following fraud prevention and security measures.
A firewall to safeguard cardholder data.
Anti-virus software needs to be implemented and actively updated.
Create and sustain secure systems and applications.
Keep cardholder access limited by need-to-know.
Users with digital access to cardholder data need unique identifiers.
Physical access to cardholder data needs to be restricted.
Network resources and cardholder data access needs to be logged and reported.
Run frequent security systems and processes tests.
Address information security throughout your business by creating a policy.
PCI DSS (The Payment Card Industry Data Security Standard) is a set of information security standard for organizations that work with branded credit cards from the major card schemes such as Visa, Mastercard, JCB. PCI-DSS, which is designed to keep your customers’ payment details safe protect credit card data provided by the cardholders and transmitted through card processing transactions
PCI mandates following high-level requirements to stay PCI-compliant and safe
3D SECURE V2
3DS2 is a security protocol that provides an extra layer of protection for online credit and debit card purchases and thus it ensures cardholder authentication and protection against fraudulent transactions.
The name comes from ‘Three Domain Secure’, which is a messaging protocol that involves three domains, such as a bank, technology that processes the transaction, and the issuing bank.
The system usually requests tokens or biometrics to authenticate cardholder information, which can decrease the number of fraudulent attempts. Moreover, the liability on every transaction that is successfully verified is shifted from a merchant to the issuing bank.
3DS2 prompts compliance with SCA regulations that stipulate two-factor authentication as a requirement for all electronic payments which enables more effective prevention of fraud transactions.
Moreover, to keep up with the changing market that promotes CNP-transactions 3DS2 makes the experience more secure and user friendly. First, 3DS2 facilitates the data exchange between merchants, card-holders, and issuers to achieve more accurate authentication. Due to this CNP-fraud can be easily prevented.
Second, another benefit of using 3DS2 is its “frictionless flow” as merchants can use customer’s issuing bank information instead of the customers’ so there is no need for customers to remember a PIN or get redirected to a new webpage. Of course, it also contributes to a shortened and convenient authentication process.
Tokenization is the process of replacing sensitive data with other data known as a token. The process is highly important since it safeguards the customer's information and prevents theft from the card.
Tokenization Service allows you to perform safe payments. The service does not transfer the buyer's bank card number to the seller. Instead, a token is assigned to the card - a randomly generated value that will be used to complete transactions. In this environment, the customer confirms his identity by adding a card to the mobile application, and created security tokens are stored in the client’s mobile device, this in turn improves transaction security for both the seller and the client. Tokens safely pass through the network without the need to expose the card details such as card number.
The benefits of tokenization:
Compliance - Data tokenization is a perfect tool to keep you in compliance with PCI DSS and keep data safe.
Reduced risk - If you store card data information there is always a minimal risk to be exposed to a breach. Tokenization will minimize the risk by securing your data.
Added security from mobile wallets - With the acceleration of mobile wallets the extra layer of security is provided utilizing tokenization because third-party apps implement an extra layer of biometric data or a password to get access to their mobile wallets before going forward to the site.
Two-factor authentication (2FA), often called dual-factor authentication or two-step verification gives a more sophisticated level of protection by adding an extra layer of security to your online platforms. Instead of simply inputting your username and password, a two-factor authentication process requires additional information, such as a fingerprint, security questions, SMS messages, OTPs, push notifications, and answer to a code that’s been sent to you.
The Address Verification Service (AVS) is a tool provided by credit card processors and issuing banks to merchants to detect suspicious credit card transactions and prevent credit card fraud. The verification begins with the cardholder entering the billing address and then AVS checks whether the cardholder's billing address on record at the issuing bank matches with the record that has been entered. The credit card processor sends a response code back to the merchant indicating the degree of address matching. This process helps the merchant in determining whether a card transaction should be accepted or rejected.