5 e-Payment myths debunked

folarin okunola

August 10, 2015 10:24 AM

Here are five of those myths and the real truths that you should know about the technology and the safety behind electronic payment.

Credit card and ATMs are leading e-payment platforms

A lot of times, convenient payment solutions to make your life easier seem too good to be true, but this is the age of technology so you should understand that almost anything is possible.

An example of these convenient electronic payment developments like contactless cards and digital wallets seem to be so simple, too simple in fact that misperceptions or myths are created around the safety and security of these platforms.

There are universal truths about the technology and safety behind electronic payments, in contrast to these everyday misconceptions.

Here are five of those myths and the real truths that you should know about them.

1. Myth: Card information breaches are rampant and out of control.

Truth: Efforts by the payments technology industry to enhance the security of payment systems has delivered substantial falls in card breaches. Although payments have never been safer, criminals have also never been smarter. However, electronic payments remain one of the safest ways to pay, more so than cash.

2. Myth: Cash is a secure, anonymous solution for payment

Truth: Actually, cash is the least secure form of payment because if stolen, it can be used by anyone without any need for authentication.

3. Myth: Chip and pin is a security silver bullet

Truth: There is no silver bullet to stop security breaches in entirety. However, the kind of technology on a payment card has multiple layers of security that help detect and neutralise most threats. Chip and PIN technology is just one example of a security layer that helps fight persistent security threats.

4. Myth: Security is still the biggest concern that prevents consumers from shopping online

Truth: Shopping online can be a weird experience for a first-time user, but there are technology advancements such as MasterCard SecureCode and others that allow online retailers to add another layer of security for transactions by asking the consumer to enter a password that is known only by the customer.

5. Myth: When shopping online, the more information I enter, the more secure my purchase will be.

Truth: It’s better for online retailers to authenticate an online shopper with the minimum information possible so as to minimise identity theft and card fraud. Ideally, they will request the three digit CVC or CVV number on the back of your card to complete a payment.

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