10 Tips for Safe Digital Payments
Simple tips to ensure a safe digital payment experience.
Today, there are at least six methods through which goods and services can be paid for. These are net banking, mobile wallets, Unified Payments Interface (UPI) based apps, Aadhaar Enabled Payments System (AEPS), cards, USSD banking, Point of Sale (PoS), mobile banking, micro ATMs etc. All of these payment methods are geared towards promoting cashless means of making and accepting payments. They have also simplified the entire process. For example, using a UPI based app, one can pay at a local kirana store in max. two taps on the phone screen.
In India, digital payment methods saw rapid adoption during the demonetization process. Ever since, the awareness about them has grown and more people are using them as their preferred means of payment. Even vendors are rapidly adopting them as a means of accepting payments. Do a quick survey of your local market and you'd notice that most shops are now accepting payments through one or more mobile wallet providers.
Digital payment methods are also a good way to get rid of that extra cash in your physical wallet. Below are few safety tips that would enable you to adopt them with ease:
Protect your phone with a device-lock mechanism: Payment modes like mobile wallets, UPI based apps, mobile banking etc. are primarily driven through apps on mobile devices. Without a device-lock, anybody who has access to your phone, can access these apps easily. A device-lock also protects your information from misuse in case the mobile device is lost or stolen.
Protect your payment apps with an app-lock mechanism: Most payment apps support an additional layer of security by allowing the user to lock the app. They often also provide an option to set a custom pass-code or use the device-locking mechanism to lock / unlock the app. This ensures that even if your mobile device is in other hands, your financial information stays protected.
Add only the required amount of currency in mobile wallets: Loading mobile wallets with more currency is not advisable. It increases your exposure to loss in case your mobile wallet gets compromised. Most mobile wallet service providers also restrict the amount users can add in a month.
Ensure that your card details are protected: Do not share information such as CVV number, PIN, Card number etc. with anyone. Remember, banks will never ask you for these details on call. Ensure that the merchant is well-reputed and trusted before storing card details with them. As an additional safety measure, you can scratch the CVV number off your card after memorizing it.
Check for HTTPS before performing an online payments: Most service providers and banks use a secure (encrypted) communication channel for online payments. This channel is known as Hyper-Text Transfer Protocol over Transport Layer Security or HTTPS. The most common way to identify this is a green pad-lock icon in the left corner of the address bar.
Keep an eye on payment transaction alert messages: Anytime you perform a payment transaction, the concerned bank sends a SMS alert regarding the same. If you haven't opted for this service, do so today. Alert SMS helps you in keeping track of activity on your bank account. If you come across any suspicious alert, report the same to the concerned bank immediately.
Enable Two-Factor Authentication (2FA): Wherever possible, enable 2FA on your payment apps and accounts to add an extra layer of security.
Avoid Public Wi-Fi for Transactions: Public Wi-Fi networks are often unsecured and can expose your payment data to hackers. Use a secure, private connection when making payments.
Update Software Regularly: Ensure that your phone’s operating system, apps, and security software are updated to the latest versions to protect against vulnerabilities.
Report Lost/Stolen Devices Immediately: In case your device is lost or stolen, report it to your bank or payment service provider immediately to block access to your accounts.
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