What are the security issues that affect mobile payments?

From the very beginning of the first mobile payment, people were reluctant mainly because of security issues, comparing it to online purchases. The primary concern was online hacking since most users didn’t understand and were not convinced of the safety and security of paying through the internet.

Mobile payment is the combination of a social media app with a smartphone

Mobile payment is the perfect marriage between your smartphone and a social media app. It is the digital version of the traditional wallet, where transactions are done online via one’s phone. In fact, it is the future of all monetary transactions as it makes faster and more effective payment possible by a simple tap on your phone’s screen.

Why are people still questioning the effectiveness of mobile payment?

Since everything is done online, the concept of mobile payment can be hard to grasp for some people as the shift from the physical point of sale to digitization can seem a bit brutal. Most people seem more comfortable with PIN and card taps than mobile payment. The general feeling is that cash and card payments are safer as they have been around for ages. As of 2015, only 52 percent of North Americans knew about mobile payments and only 18 percent became regular users.

More and more people think mobile payments are riskier

Since 2016, the number of people believing in the rise of online data breach and fraud have increased from 23 to 40 percent in 2017. At least 60 percent of people believe that monetary mobile transactions are more vulnerable to online fraud and breaches. However, with the steady increase of mobile phone users around the world, mobile payment apps will keep on mushrooming, albeit with stronger security barriers.

What are these stronger security measures?

There ways to protect yourself from online theft or cybercriminals. For instance, improving your password strength could be one option available to all users. In fact, passwords are easily guessed by hackers as most users use a combination of their name and date of birth as passwords. Avoiding this simple mistake could be the first step towards better data protection. Some social payment apps have started using fingerprint and voice authentication and data encryption to make mobile payment safer and more secure.

What are some of the most obvious security concerns?

A big and obvious concern is what happens if your phone gets lost or is stolen? Experts are trying to reassure users of the greater safety of mobile payments compared to traditional cash and card payments. However, when big organizations like Home Depot and the Dairy Queen are victims of online breach or fraud, it raises eyebrows concerning these giants’ security barriers.

Mobile payment will take time to settle in the collective consciousness

Indeed, it will take more than a couple of security measures to reassure people of the safety of mobile payment. As for any other payment method, it takes time for users to truly grasp and understand the benefits of a novel tool

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