Mobile wallets continue to gain momentum
Mobile wallets are becoming more common as a growing number of consumers begin to rely on their smartphones and other devices to pay for products. These applications are designed to store information provided by retailers and other businesses, making it easier for consumers to make mobile transactions. The issue, however, is that mobile commerce is becoming an attractive target for malicious groups that want to exploit consumer financial information. According to a recent survey from LexisNexis Risk Solutions, attacks on mobile payments platforms are increasing.
Survey shows that as much as 21% of mobile payments are fraudulent
According to the survey, mobile transactions make up 21% of all fraud cases that have been reported by retailers. By comparison, those companies that participated in the survey noted that mobile payments represent 14% of the transactions that they process. The cost of payment fraud is higher than the cost of other sorts of commerce fraud, which is beginning to detract from the attractiveness of mobile commerce among merchants.
Mobile commerce has become an attractive target for hackers
Mobile commerce has become a popular target among hackers because of the relatively lax security measures that many payment platforms have. Mobile wallets are highlighted as risk-prone platforms. Security issues may be related to the relative youth of the mobile commerce industry. Mobile commerce companies and service providers have not had the time to gain the experience needed to effectively fight fraud and cyber attacks, but they are taking steps to ensure that the financial information they are responsible for is protected.
New technology may help mobile commerce become more secure and resilient against attacks in the near future
In the coming years, mobile payments are expected to become more secure. New technologies are emerging that can help make transactions safe for consumers and businesses. Biometric technology is becoming more prominent in the mobile commerce industry, where it is being used to authenticate mobile transactions using biological information, such as a finger print. These technologies may help solve the security problem in the coming years.