Google Pay and Apple Pay are popular methods of making mobile payments on Android and Windows phones, but they are extremely risky if the encryption is broken.
Fremont, CA: Electronic Money, Especially mobile payment options, is gaining tractions in today’s always-on world due to its convenience, speed, and ease. However, mobile payment security has not been developed to the extent that such widespread use requires, leaving digital wallets and contactless payments susceptible when customers are ignorant of fraudulent practices.
Mobile Payment Security Issues
Despite the growing market for mobile payments, both companies and end-users are wary of completely embracing the technology, citing security concerns.
Nowadays, cybercriminals and fraudsters employ more sophisticated methods to obtain sensitive and confidential information. As a result, these concerns are not without merit.
Mobile payments have various security flaws. Here is a list of some of the most common mobile payment security concerns:
Security problems in applications
Many security issues in an application are identified during the development process when app developers fail to apply a secure-by-design method. Furthermore, once the software is running, numerous vulnerabilities may be discovered.
When the phone is misplaced, there is no payment security.
Smartphones have evolved into multi-purpose devices. Aside from simple payment options, it also includes personal information such as phone details for oneself and individuals in one's phone book, names, individual photos, social network connections, etc. Phones also allow users to access bank accounts, debit cards, and credit cards through various payment apps, mobile wallets, online banking apps, and many other services.
Incorrect use
Regardless matter how secure it is, how people interact with their phones may be a security concern. For example, fraudsters might use the mobile phone's website to make purchases and payments. Google Pay and Apple Pay are popular methods of making mobile payments on Apple and Android phones, respectively, but they are extremely risky if the encryption is cracked.
Mobile wallets exposed
As mobile payment methods became more widely available, other payment applications appeared. However, for these applications to work, a debit or credit card must get inserted into the mobile wallet.
Throughout the application process, details such as the card number, VCC number, expiration date, etc., get encrypted using codes.
