Mobile Payment Apps: Friend or Faux

credit-card

The recent technological advancements have made payment on mobile almost a breeze. Gone are the days when you used to keep the cash handy or had to go all the way to the ATM machine for cash. Internet has revolutionized the financial aspects within the tiny world of mobile phones.

But then there is other side of the coin and that is not pleasing at all. The incidences of data hacks or mobile password hacking is just so common these days. You cannot but be conscious at each step of payment process via your mobile phone.

With the rise in E-commerce, you however can’t entirely avoid the mobile payment channels. In some way or another, you need to transact, order stuff online or may be not let some great deal on your favorite purchase go away from your hands. Especially in the holiday seasons, Sale is something hard to ignore. Ask women, who are the most frequent online shoppers or gadget freaks who almost glue to their mobile screens for the new mobile releases and more.

Payment frauds on the mobile phones are on the rise and it has become a pricey problem. It is no secret that mobile payment channel is favored the most in spite of the growing challenges. The introduction of new wallets for online payments has made our life so easier that we almost depend on them for our day to day purchases. Be it grocery or apparel shopping, we all have been there.

According to recent stats, transactions of around $431 billion were made globally in 2015. About 31% of online merchants accept only mobile payments and another 37% are planning to accept them in near future.

The latest industry trends have given us insights about recurrent fraud reports. Every year, millions of credit card holders face frauds on their cards. Some consumers think that it is safe to use mobile payment option rather than paying through credit card in a store while the rest think otherwise. But the sad reality is mobiles are more susceptible to risks of data theft as compared to physical cards.

The fraud on mobile phones largely depend on two major factors –

  • Where do you store your information?
  • How do you protect that information?

Ask yourself about the answers to these fundamental questions. You will know if you are taking things so lightly or you don’t let a weak link in your security armor.

So let’s us find out what we can do to ensure double protection through mobile transactions –

  1. Use a credit card instead of a debit one: First thing first, use a credit card. Why? Credit cards have limited access so even if somebody sneaks into your credit card information, he won’t be able to access much, maybe after a single use. This is not the case with debit cards. The information once leaked or hacked will ultimately result in draining of funds from your account. Scary right?
  2. Mobile Security: To keep your device safe, you can have an anti-virus or something that protects your mobile from imminent threats like McAfee Mobile Security for android and iOS.
  3. Keep a check of your stored cards: If you are shopping via a particular app and have stored your card details, re-think about it. This information is generally store in a server which has high potential of being hacked as compared to that on your mobile. So avoid it!
  4. Card Alerts: Better to safe than sorry! So however old school may it sound, keep the mobile alerts on about your card’s activity.
  5. Exercise caution while online shopping: While shopping on some mobile app, go through its terms of service. Make sure that it is not asking an access of personal information. If it doesn’t, no need to download it on your mobile.

There is sure some respite for the consumers as online fraud management is taken to a new level. So we can’t entirely ignore the mobile payments benefits. The seismic shifts in the fraud management for online portals are giving respite to consumers. So just exercise caution as it is all you need to do at the moment. Rest the changing tides of payment industry might bring the reforms against the security challenges sooner.

 

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