Online Fraud: What You Need to Know
Guy working on his cellphone

When starting an online enterprise, it is important to ensure that your customers make use of a reliable and secure payment gateway. Without a means of making secure payments, your customers will be at risk of online fraud – not only is it an inconvenience for all parties involved but it also puts you at risk of facing legal action by your customer.

Online fraud can occur at any time and it can occur anywhere. The internet is a vast and busy marketplace in which consumers and enterprise are constantly engaging. Unless your online payment system is protected by a notable service provider, your consumers are consistently at risk of fraud. If you’re wondering about whether or not your customers are protected against online fraud, the chances are high that you do not have a reliable online payment gateway in place. Here’s what you need to know:

What is Online Fraud?

Online fraud is a term to define fraudulent activities and transactions that are made on another person’s debit, cheque or credit card. Online fraud happens when the confidential information pertaining to someone’s card is lost, shared or stolen. It can occur when a user makes use of his or her card on a chat site, through email, websites or through unsecure online enterprises.

Who is at Risk?

Unless your customers are guaranteed a safe and reliable payment gateway and are able to make secure payments, every customer who visits your online store and buys one of your products is at risk of online fraud. It is also important to remember the different ways in which people are exposed to cyberspace opportunists and, even if you are careful and vigilant about how you make use of your bank cards, you are also a risk.

How Do I Prevent It?

While you can’t do much for the customers who spend their time trawling the internet, you can certainly do something to protect your customers from online fraud. While the aim of an online establishment is to make money, one of the defining goals of your business practice should be to prevent your customers from falling victim to online fraud or become exposed to any type of contravention of their privacy. The best way in which to prevent online fraud is through the investment in a reliable and secure payment gateway that allows your customers to make online and mobile payments from anywhere and at any time. Through a reputable service provider, you will ensure that your customers come to trust your brand, your product and your shopping process.

If I Have Been Affected, How Do I Bounce Back?

If your online enterprise has been affected by online fraud, the best way in which to rebound is through the proper and efficient management of the crises. If the bank in question can be traced back to your site from where the confidential information was stolen, you may be responsible for compensating the customers for the damages. However, if you are in the clear but notice that your business is suffering, investing in a reliable and secure online payment system is your next best solution. Once you have done this, it is important to ensure that you promote this investment, encouraging your customers to research the brand.

Online fraud can be detrimental to the success of your online enterprise; however, preventing it is far better than trying to find a solution to fraud that has already taken place. If you’re looking for a reliable payment gateway solution, contact PayU today for a no-obligation quote.