How to Secure Credit Card Transactions

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by Marketing Department February 24, 2017

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Last Updated: March 1, 2021

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As a business, learning how to secure credit card transactions is of utmost importance. Keeping your customers’ payment information safe will benefit you and your customers. Here are some tips for securing your company’s credit card transactions:

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1. Do not store credit card information yourself.

Running credit card transactions can unfortunately take a lot of time. Businesses will sometimes copy down their customers’ payment information and store it somewhere they can easily access, such as on a spreadsheet on their computer, in order to make the process less time consuming.

However, storing credit card numbers yourself puts you and your customers at risk. If someone manages to compromise your system, that person could commit credit card fraud or identity theft with your customers’ information. Your customer will likely report the incident to their card provider, which could prompt an investigation from the Payment Card Industry (PCI). Because storing card information yourself is considered a breach in PCI standards, your business could be fined hundreds of thousands of dollars.

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2. Tokenize your data.

If you’re serious about learning how to secure credit card transactions, look into adopting tokenization as a security measure.

To meet PCI compliance, you must ensure that when you process cards, the data is secured through a method such as encryption. This includes data that is stored in your ERP/accounting software.

Standard encryptions are helpful and can reinforce your security approach. However, when used on their own, they leave data vulnerable. Any encryption can be broken once the hacker finds the algorithm. In addition, encryption leaves information in its original state in several places

Tokenization is another PCI-compliant form of security that transforms data into completely random sequences that cannot be decoded. The real data is secured elsewhere and is no longer your liability.

Tokenization ensures that if a hacker breaks into your system, there is no valuable credit card information that can be stolen. Your customers’ information is safe

The best approach to security is a multi-layered one that includes tokenization and encryption.

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3. Enter in additional line-item detail when processing credit cards

Card-not-present transactions can be risky. By asking for extra information in these transactions, such as a CVV or zip code, you are ensuring that a customer is who they say they are. This also reduces your liability and the liability of your customer if fraud occurs.

Those are the basics on how to secure credit card transactions. Contact Century Business Solutions if you’d like to learn more about secure payment processing.

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Samantha Lepore

Samantha likes explaining the ins and outs of integrated payments so that companies can make informed decisions on how they process payments. She also enjoys gradients, unironic use of Papyrus font, and corporate branding.

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