• Potential Security Issues with E-wallets

  
  
  It’s important to know that not all e-wallets are the same and some can be susceptible to common security issues. Here are the top security risks e-wallets can succum to if the right security measures aren’t in place:
  
  
  • Fraudsters opening accounts in other people’s names through stolen phone numbers.
  
  
  The verification process doesn’t scrutinise anti-fraud details against the user’s personal details and the cards being registered. 
  
  
  General mobile phone issues like poor app security may not mitigate the risks of backwards engineering used by hackers to gain encryption keys and sensitive information.
  
  
  Most users don’t use third-party protection to encrypt their personal information, which can be stolen as a result. 
  
  

  Typical Security Measures for Ensuring your E-Wallet is Secure

  
  

  The most common way to protect against physical theft of a payment card is 3-D Secure or another two-factor authentication method developed to protect funds. However, unless strict limits are set for the card, perpetrators can easily use it for online services that don't have 3-D Secure or other two-factor authentication protection. 

  
  

  As data is transmitted between PoS terminals and payment cards, criminals can intercept the transaction and gain access to sensitive financial data. But by using an e-wallet solution instead, this type of fraud can be easily avoided. 

  
  

  Whether it’s used for in-store purchases via a smartphone or for online payments, when using an e-wallet, the user’s sensitive financial data is always protected. E-wallets have a layer of advanced encryption that generates a random number sequence for each individual transaction. Even if hackers manage to intercept a customer's transaction, they won't be able to use the data they acquired because it will have changed by the time they attempt to use the e-wallet. 

  
  

  Additionally, stealing the mobile phone used for the e-wallet won’t help fraudsters because they won't be able to log into the digital wallet account as it is protected with biometrics (face recognition or fingerprints), a PIN, or a password.

  
  

  With STICPAY's Advanced E-Wallet Security Features, your E-Wallet is Secure

  
  

  We can safely say that e-wallet solutions feature much better security than conventional payment methods like credit cards and cash, but as mentioned, not all e-wallets have the same security measures. 

  
  

  For increased security, STICPAY stores customers’ funds in segregated accounts, which users have uninterrupted access to as well as the ability to withdraw from at any time. 

  
  

  In addition to this measure, STICPAY carries out strict screenings of both its merchants and consumers with regular KYC (Know Your Customer) and AML (Anti-Money Laundering) checks, while utilising advanced anti-fraud measures to eliminate threats and protect customers. 

  
  

KYC Checks

1. Establishing customer identity.
2. Understanding the nature of customers' activities and qualifying that source of funds is legitimate, and:
3. Assessing money laundering risks associated with customers. 

AML Checks

1. Advanced AML screening, designed to stop fraud and financial crime before it happens.
2. Fraud monitoring, which involves automated transaction tracking that highlights anomalies with investigating.
3. Device recognition, a method for preventing cyber crime by identifying the devices that interact with your business. 
4. All-in-one platforms that combine all of a business' Anti-Money Laundering software and tools in one place for easy access and use. 

Summary: With STICPAY, you no longer have to question “Is my E-Wallet Secure?”