Key Mobile Payment Security Challenges Facing Businesses

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Key Mobile Payment Security Challenges Facing Businesses

CFO Tech Outlook | Thursday, May 12, 2022

Google Pay and Apple Pay are popular ways to make mobile payments on Android and Apple phones, but they are very dangerous if encryption is deciphered.

Fremont, CA: Electronic money, particularly mobile payment alternatives, is growing appeal in today's always-on society due to its convenience, quickness, and ease. Globally, there has been a substantial surge in mobile payment systems and digital wallets. However, mobile payment safety has not even been prioritized to the level that this broad usage warrants, leaving digital wallets and mobile payments vulnerable when consumers are unaware of fraudulent tactics.

Mobile Payment Security Issues

Despite the rising market for mobile payments, both businesses and end-users are hesitant to embrace the technology due to security concerns fully.

Nowadays, cybercriminals and fraudsters use more sophisticated tactics to get sensitive and personal information. As a result, these fears are not unfounded.

Mobile payments pose several security vulnerabilities. Here's a rundown of some of the most frequent mobile payment security threats:

Security problems in applications

When app makers fail to use a secure-by-design strategy, many security problems in an application get discovered in the app's development. In addition, once the program is online, various vulnerabilities may get detected.

When the phone is misplaced, there is no payment security.

Smartphones have become multi-purpose gadgets. Aside from simple payment alternatives, it also contains personal information such as contact information for oneself and those in their phone book, names, individual images, social network connections, etc. Phones also provide access to bank accounts, debit cards, and credit cards via different payment applications, mobile wallets, online banking apps, and other services.

Incorrect use

Regardless of how secure it is, how users use their phones might represent a security risk. Fraudsters can make purchases and payments using the mobile phone's webpage. Google Pay and Apple Pay are popular ways to make mobile payments on Android and Apple phones, but they are very dangerous if the encryption is deciphered.

Mobile wallets exposed

Several payment applications arose as mobile payment methods became accessible. However, a debit or credit card must be put into the mobile wallet for these applications to function.

Details such as the card number, VCC number, expiration date, and so on are encrypted using codes throughout the application procedure.

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