News & Events
- July 24, 2023
Customer Peer-to-Peer (P2P) Payment Risks
The rise of Digital Payment Providers will likely continue as technology evolves, customer preferences change, and more countries move towards digital and cashless economies. While this growth has brought numerous benefits, it has also introduced certain risks for compliance. Here are some of the key risks:
Fraudulent Transactions:
Payment platforms may be vulnerable to fraudulent activities, such as unauthorised transactions, identity theft, or fake payment requests. Hackers or scammers can exploit security vulnerabilities or manipulate unsuspecting users to gain access to their funds.
Merchant Risk:
Payment companies often work with various merchants. However, some merchants may engage in high-risk or fraudulent activities, posing compliance challenges. Payment providers must conduct thorough due diligence on merchants to mitigate these risks.
Privacy Concerns and Consumer Protection:
Payment apps may require users to share personal information, such as bank account details or mobile phone numbers, to facilitate transactions. Inadequate privacy measures or data breaches can lead to the exposure of sensitive information, eroding trust in the platform.
To mitigate these risks and maintain trust, payment providers must prioritise security measures, implement authentication protocols, educate users about potential risks, and offer clear dispute-resolution mechanisms.
eBOS’ Electronic Customer Verification (eCV) solution offer a comprehensive onboarding process for your customers, complete with real-time ID verification. This solution offers a secure onboarding process by confirming the identity of the individual holding the ID. With standardised procedures and outsourced electronic support, businesses can expect faster, streamlined, and more efficient client onboarding. This solution benefits individuals and financial and professional services organisations, strengthening the integrity of the financial services sector.
Improve your client onboarding process with WiseBOS eCV. You can offer faster, more organised, and more efficient services by integrating optimal identity verification systems.
