Digital payment fraud has always been considered an intrinsic risk of electronic modes and ways where online credit card transactions are involved. However, this risk has recently been on the rise since the last few years. The main reason for this is that the internet is fast evolving into a global marketplace.
For those who are unaware, the online world is populated with billions of users who have become accustomed to online transactions and the technology that makes it all possible. In fact, the growth rate is exponential in comparison to other countries.
Most online payments, especially credit cards, tend to be done through third-party merchant services. This is the reason why consumers are being victimized by fraud. Fraudsters are able to get a hold of information about credit card purchases through online merchants and can use this to their advantage. These fraudulent transactions happen without your awareness, which is the main reason why you must be aware of the latest trends in online fraud.
With the advent of online payment, the risk of fraud is definitely going to increase. It is up to you to prevent this by taking precautionary measures. One way to do this is to be smart about online payment. While you may not want to think too much about how you can avoid this particular risk, there are things you can do now to make your financial transactions safer. Here are some helpful tips:
Secure your bank card by using a password when using it online. Never provide any of your credit card numbers over the internet. If you are buying something on the internet, always look for a secure site. If possible, use a secured server that allows you to make payments through secure payment gates. If you don’t know a secure gate, just make sure the site you are using is encrypted on both the payment gate and your browser.
If you ever think that your bank card number has been obtained through the internet, don’t give out this information until you are 100 percent certain that the transaction is safe. Instead, make sure you have a physical copy of the card in your hand. Even then, if you don’t know how to stop the transaction, you can always call the bank to make sure they’ve sent the information to the right place.
Online retailers also need to take care of their online transactions. Any time there is a transaction where money can be transferred to a third-party, there is a risk that the transaction will be susceptible to fraud. For example, when you pay for your items over the internet through your bank, the funds are usually encrypted before being transferred to the third party.
Another good way to protect yourself is by making sure the information you enter when you sign up for the site, the payment gate or register for the online shop are secure. If you don’t feel comfortable providing sensitive information over the internet, make sure the website you are using is using secure encryption. Make sure that there is an area where you can enter your password and make changes to your information from the secure part of the site. Do not click any links or buttons unless you are 100% sure the link or button is secure.
Don’t use the same passwords for your online store, your bank, or other financial institutions. If you do, you can make all of your online transactions easier to track down, but you might end up leaving your information vulnerable to cyber criminals.
You should also check all of your credit card numbers at any online shopping website before making a transaction. While it may be easy to keep them safe with just a little bit of extra security, if you aren’t careful, cyber-criminals might be able to access all of your personal information and then use it to make a purchase on a site you thought you were going to trust.
Learning how to avoid digital payment fraud online is important. However, prevention is better than cure, so be sure to put aside the time and money to learn how to prevent this kind of fraud instead of waiting for someone else to suffer because you were careless.