Between 2019 and 2020, incident reports surrounding identity theft went up by 113%. Identity theft via credit cards alone went up by 44.6%. Payment frauds tripled globally between 2011 and 2020. The number went from $9.84 billion to $32.39 billion. By 2027, experts predict such transaction frauds to reach the $40 billion mark.
While online monetary transactions have made life easier for businesses, it has also given hackers and fraudsters the chance to steal money. Hence, there is a dire need for secure online transactions in business payments, where large sums of money are being transacted every minute.
Growing Popularity of Online Monetary Transactions Among Businesses
Online monetary transactions have become a popular way for businesses to make payments. The growing popularity of this method is due to its convenience and speed, as well as the security provided by the technology used.
The security provided by online transactions is an important consideration for businesses when choosing how they want to make payments. The main reason why online monetary transactions are so popular with businesses is that they provide a secure environment for making payments.
Online transactions are protected by encryption technology that prevents hackers from accessing the details of your business’s financial records. This means that your business’s information will be safe from those who might try to steal it or misuse it in some way.
In addition, online monetary transactions are also easier than traditional methods because there is no need for paper documents or checks that need to be signed by both parties before making a payment. This reduces the amount of time it takes for both parties involved in the transaction, which saves them time and money overall.
However, these conveniences can often backfire. The security is often compromised, and the lack of proper verification from both ends means the money can fall into the wrong hands.
How Money Gets Stolen Online
The most common way is through phishing scams, which are designed to trick people into revealing personal information. Phishing scams can take the form of an email that appears to be from a well-known company or institution but is actually just an attempt by a scammer to get you to give up your personal data.
Another way money gets stolen online is through malware, which is software that infects computers and mobile devices and allows hackers access to private information stored on them. They then use this information to gain access to your bank accounts or other online payment gateways. From there, it’s easy to move the money to their accounts or elsewhere.
How Businesses Can Secure Online Transactions
Businesses can ensure secure online monetary transactions in different ways. However, they must first understand what type of cyber threats they are more prone to.
E-Signature software is one such tool that helps secure online monetary transactions for businesses. The software allows you to sign documents electronically, which can be verified by third parties or authorities. This means that you do not have to worry about any fraudulent activity.
The technology behind e-signature software allows it to be used in many different ways, including:
- Electronic signatures on contracts and other legal documents
- Electronic signatures on credit card transactions
- Electronic signatures on invoices for goods or services provided by the company
Anti-malware software helps protect against phishing attempts, ransomware attacks, and other malicious files that can cause damage to your computers or devices. This software helps ensure that your data stays safe by protecting against malicious code that could steal personal information or compromise your system’s integrity.
Anti-malware software can prevent fraudulent activities such as identity theft and credit card fraud by identifying and blocking computer viruses, worms, Trojans, spyware, and other malicious programs. By doing so, it prevents hackers from gaining access to information that they can use to access your online bank accounts.
Safe Internet Use Training for Employees
While there are many things you can do to protect yourself from theft and fraud, it is also important that your employees have proper training on how to use the Internet safely.
By providing your employees with this training, you will help ensure that they do not engage in any activities that could put your organization at risk. This includes sending sensitive information over email or social media platforms, sending money online, sharing personal information with strangers, downloading files from unknown sources, etc.
Live demonstration and case studies are also important. For instance, CISCO recently had a security breach that resulted in a data leak. You can use this as a case study to help employees understand how such real-life scenarios unfold and what they can do to prevent them.
Understanding the need and risks of online monetary transactions will help you realize what you must do to ensure secure transactions. Start by learning as much as you can about these threats and how to prevent them. Online transactions are here to stay. So, we should learn to make the most of this system securely.