Online payment methods have quickly transformed the way consumers shop and transact. Businesses now integrate multiple online payment options, allowing customers to pay using their preferred mode. Customers can now shop from their favourite brands using their smartphones, thanks to the advanced payment methods enabled by the internet. Besides the bright side of online payment gateways, there also exist the dark side in the form of fraud and security breach.
Each time a consumer makes a payment online, it contains a risk element that fraudsters may hack sensitive information and steal hard-earned money. However, one may combat unauthorised payments by using secure methods of online payments. Here, check out some of the most secure online payment methods and know which ones to avoid in 2022.
Secure Online Payment Methods to Use
1. UPI Apps
Unified Payment Interface (UPI) is the best payment gateway for online payments, allowing users to send money from their bank accounts directly to the recipients. Irrespective of both parties’ banks, UPI apps enable users to transact quickly and safely. What adds to the security of UPI apps is that the users do not need to share their debit card, credit card, or bank account details. Retailers have a UPI code that the user scans using the app, enters the transfer amount, and pays. It’s not possible to transfer money without authentication.
2. Credit Cards
A credit card is one of the best choices for digital transactions, whether shopping at a retail store or an eCommerce website. They make payments convenient as well as secure. What’s more, the payment method through credit cards is similar for all sites and stores. Trustworthy credit cards come with solid protection features. In case of a wrong transaction, reversing the funds is also an option.
The best thing is that the user’s bank account is not linked with the credit card. Therefore, the money does not get deducted immediately from the bank account. Instead, the credit card company pays for the purchase, which the user pays later. So, whenever the user notices suspicious activity, they must notify the credit card company to prevent fraud. To ensure secure payment, it’s crucial to use a secure website or app with reliable encryption methods.
3. Alternative Payment Services
These are the third party easy online payment options that have increasingly dominated online transactions. PayPal is a popular platform known for its security and reliability. Other reliable payment services include Paytm and Google Wallet, among others. What makes these options secure is that users do not share their private information, and they are KYC updated.
Once a party makes the payment, the recipient instantly receives it through an equivalent service. When desired, it is possible to transfer funds from these platforms to the bank account. Furthermore, they are considered secure because of their ‘buyer protection’ feature.
Online Payment Methods to Avoid in 2022
1. Wire Transfers
Some users transfer money from their account to the merchant’s account using wire transfer. The user needs the recipient’s account number to transfer the funds. A minor error of a single digit can often transfer money to the wrong account, leading to a loss of funds for the user and the recipient. Although it is possible to track the account number and reverse the funds, it increases risk and wastes time.
2. Debit Cards
Another risky method to make digital payments is using a debit card. Although these are easier to carry than cash and offer convenience, they are linked directly with the user’s bank account. Negligent use may steal funds directly from the bank account, and there is no way to reverse the funds if the transaction is untraceable.
People have been using multiple online payment options for several years now. Therefore, they have an idea of which ones are secure and which ones carry a high degree of risk. Using insecure methods leads to the loss of money through the fraudster. Therefore, it’s crucial to settle on a safe payment method that guarantees security while transacting online. UPI apps from reputable companies are among the fastest and safest modes of digital payments. Users may get added benefits in the form of cashbacks. Many apps offer to encourage people to transact online and build a cashless society.
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