Security measures are an indispensable part of payment processing for both businesses and their customers; a breach at any point can spell disaster for all parties.
Therefore, security features deserve an especially critical review when investigating different payment processing options.
The lack of technological development can create innovative possibilities for cybercriminals.
As a merchant who is making digital transactions daily, you need to implement the highest level of payment security to assure your customers that every element of their transaction is safe.
While it can be challenging to handle all the security measures on your own, we highly endorse finding a reliable payment platform that combines payment processing and adequate anti-fraud protection.
How do you prevent fraud?
The number of vulnerabilities businesses might face is constantly evolving, so ensure that your arrangement complies with the payment, security, and risk models of the country you operate in.
Suspicious activities can harm your company’s reputation and could cost you much more than money. Fraud is expensive and affects your loyalty to the customer’s trust.
Its discovery can be time-consuming and requires extensive knowledge. That’s because suspicious activities can be comparable, but are seldom identical, so they are challenging to identify. Fraudulent activities are made for personal winnings and are often committed against customers. These could be multiple penny drop validations, fraudulent requests for a refund, etc.
It’s a genuine peril to payment security, but there are warning signs you can look out for to restrict the number of fraudulent activities. Sustaining this in mind, consider implementing a fraud protection service or choose a payment product with advanced fraud management tools.
Paytm for business has taken some effective steps towards producing a very secure network against some very genuine threats such as:
- Injection flaws allow the attackers hostile data to trick the interpreter into executing unintended commands or accessing data without proper authorization
- Broken authentication can allow attackers to compromise passwords, keywords, etc.
- Sensitive data exposure such as financial, healthcare, etc that is stolen or modified to conduct credit card fraud, identity theft, or other crimes
- Broken Access controls can be exploited by the attackers to access other users’ accounts, view sensitive files, modify other users’ data, change access rights, etc.
- Security Misconfiguration due to insecure default configurations, incomplete or ad hoc configurations, open cloud storage, misconfigured HTTP headers, and verbose error messages containing sensitive information
- Cross-Site Scripting XSS can allow the attackers to execute scripts in the victim’s browser which can hijack user sessions, deface websites, or redirect the user to malicious sites
- Insecure deserialization can be used to perform attacks, including replay attacks, injection attacks, and privilege escalation attacks, and more
The most common methods to fight fraud are data analysis, pattern recognition, anomaly detection, multi-layer security, and risk assessment. All of these are largely provided by Paytm.
While Paytm for Business provides these key security features, in addition to these, Paytm Payouts also has a wide spectrum of security features to build a strong and secure environment for your business payouts.
Paytm Payout’s spectrum of security features
IP controls – To avoid compromising secret keys, only specific systems IPs have been safelisted and can control the money transfer requests being made.
Comprehensive limit or channel-based approval management system – Paytm Payouts only allows business products where n-stage complex approval workflows can control amount limits or adhere to board resolutions.
You can define approval workflows at the amount level, channel level, or even the bank account level to cover various scenarios.
Credit risk controls – With Paytm Payouts, you get to define the bank accounts that you can use to fund your Payouts account. The account and account holder’s name is verified to ensure a clean trace of funds and adequate reconciliation.
Anti-money-laundering controls – AML monitoring is the heart of any fund transfer module. With Paytm Payments Bank and the largest money transfer app in the country, we have sophisticated systems that monitor and validate transactions in real-time and post facto based on multiple patterns. A few of these patterns are listed below:
– Receiver money concentration – We monitor and flag if certain receivers get a peculiar share of the amount and have a dedicated team that monitors these flagged receivers to notify businesses.
– A sudden growth in transactions or amount being transferred – Sudden suspicious growth spikes are observed to be flagged to avoid any money laundering in real-time.
– Suspicious transaction reporting – In partnership with Paytm Payments Bank, we file STRs for suspicious transactions.
AI-based fraud prevention engine – Every transaction you make comes with 100+ variables used by our AI-based fraud prevention engine to calculate all sorts of risks in real-time. This engine is implemented across all money transfer modules in Paytm, including Paytm Payouts. Examples of things we monitor are:
– IPs from where we are getting requests and locations of the same
– Beneficiary lists against our broader flagged fraudulent bank accounts
– The amounts being transferred, and many more.
These fraud prevention algorithms are consulted in real-time, and some are also available to businesses to configure:
– Velocity rules – Companies can set velocity rules on the Paytm Payouts Dashboard for bank account validation. These rules ensure that the customers are not validating their bank accounts repeatedly and duping these businesses of Re 1.
– Caching rules – Sufficient caching can help avoid losing money every day. Some details from the cache are completely configurable per business. We have default monitoring on all companies where we see these rules are not configured. They are at risk based on their transaction patterns.
Compliance & Security Controls – We have all the required compliance certifications to support our product features. Paytm Payouts’ systems are PCI DSS certified to support refund payouts made to cards, including prepaid cards, debit, or credit cards. A security test of our products is conducted every quarter or as soon as it releases to ensure there are no security vulnerabilities.
Comprehensive Access Control Engine – The Access Control Engine provided by Paytm Payouts is a super-comprehensive way of managing the disbursal of your payments. It allows you to control:
– Who can transfer money or pay bills
– Who can approve these transfers
– Who can view the balance/passbook of which account, and much more
These features can help ensure that the principle of least privilege (POLP) is implemented by allowing only a limited amount of access to perform the required job.
It takes a lot of work and potential to keep payouts secure, but you should constantly monitor and analyze all data to guarantee that there aren’t any open gaps. Watch closely for any threat, attack, and suspicious activity, and react promptly if anything happens.
Plus, work with reliable companies and products that help to process payments and keep your customers’ data safe.
All in all, Paytm Payouts is the one-stop solution to all of your business’s disbursements and offers amazing product and security features in the market.
Aren’t you impressed with our product security features? What are you waiting for? Start using Paytm Payouts now!