Which Are the Most Secure Online Payment Methods? Whether you need to purchase something or pay for a service online, the safety of your money should be your top priority.
Nowadays, there are many payment methods, but only a few may be deemed secure. So, what are the most secure payment methods?
1. Digital Wallets
Apps that store your bank or credit card information are known as digital wallets. But, of course, you’ve probably used one before—PayPal, Apple Pay, and Google Pay are just a few of the greatest digital wallets available today. These apps are straightforward, convenient, and simple to use, acting as a barrier between third parties and sensitive information that belongs to you.
The retailer does not see your payment information when you pay for something with your digital wallet, whether online or in person. It is encrypted and obscured, greatly reducing the chances of it falling into the hands of the wrong people. You can take several steps to improve the protection of your digital wallet.
You should never operate your digital wallet or any payment app over public Wi-Fi since these access points can be faked and are frequently not sufficiently secured. It would be most useful if you also considered installing security apps such as antivirus suites, network scanners, and authenticators on your smartphone.
Secure both the phone and the wallet with a complex password because there is always the danger of losing or stealing your phone. To secure your device and payment apps, utilize multi-factor or biometric authentication.
2. Virtual Credit Cards
Your credit card is safeguarded by the 3D Secure (3DS) security standard, which is quite good but does not completely protect against fraud and identity theft. Virtual credit cards help in many ways since they mask your real information.
Virtual credit cards are digital-only cards designed to be used only once or twice (usually, a new card is generated for each payment or transaction). This card is linked to a funding authority, such as a bank account. When you pay for something online, you enter the number your virtual credit card service issued rather than your actual card number. This reduces the chances of your information being taken.
Even if a website containing your information is hacked or compromised, you are safe since the threat actor responsible for the attack does not need your virtual credit card—it has most likely expired, and they cannot do anything with it.
In short, virtual credit cards provide excellent protection against numerous cyber-criminals. The only major drawback is that you can’t get a refund for an expired card if you need one, but that’s a good price to pay, given how infrequently most people find themselves in such a situation.
3. Cryptocurrency
Crypto is safer and more private than fiat money since it is a decentralized currency that uses blockchain technology. In addition, it only exists in the digital world, which makes it ideal for transferring money between accounts via the Internet.
You do not need a credit card, bank account, or any other financial access to cryptocurrency. And, if you know what you’re doing, the chances of being tracked by a third party are slim, particularly if you use privacy-focused currencies like Monero.
It should also be highlighted that it is rather simple to secure your crypto assets. For example, suppose you want to avoid investing in a cold wallet (a physical device that stores your cryptocurrency offline). In that case, plenty of secure digital crypto wallets exist, including Exodus, Wasabi, Guarda, and the Coinbase Wallet.
On the other hand, cryptocurrency markets are extremely volatile, with the value of a currency changing daily. Many consumers are turned off by this, as does the fact that Bitcoin is not accepted everywhere as a means of payment; granted, more e-commerce platforms have adopted it in recent years, but Amazon still needs to take cryptocurrency payments. Crypto can be used for secure online payments, but it is only for some.
4. Prepaid Cards
Prepaid cards are not connected to bank accounts and must be topped up with the money to operate. In other words, you cannot spend more money on a prepaid card than you have previously placed onto it. This distinguishes prepaid cards from credit and debit cards and makes them significantly safer.
Using a prepaid card to pay for products and services online is an excellent way to protect your money because even if a threat actor steals your card information, they can only access the money on the prepaid card and not your bank account. If your credit or debit card information were compromised somehow, it would be a completely different issue, with thousands of dollars potentially being taken from your account.
A reliable prepaid card for online shopping and other digital transactions is one of the best things you can do to improve your cybersecurity. You may load money onto your prepaid card regularly anytime you need to pay for something online, rather than using your principal credit card and putting yourself in danger.
Are there any imperfections to using prepaid cards? Regrettably, yes. The fees might be rather high. You must frequently pay fees for card acquisition and activation, reloads, balance queries, and even card cancellation.
Keep Your Money Safe Online
Digital payment methods have advanced significantly over the years. As a result, there are more options than ever, and some are even safe.
We can only speculate on what the future holds for us, but as online payment systems improve and evolve, so will cyber dangers. And, no matter how many safeguards you take, one wrong move could lead to your bank account being compromised, so make sure you look out for signs of a breach.
