E-wallets have transformed the way we interact with the online and offline world underlined Bahaa Abdul Hussein. Spending and sending money has never been more effortless and instantaneous. With the rapid growth of digital wallets like Apple Pay, Google Pay, Samsung Pay and PayPal, there are a number of privacy concerns that are haunting our daily lives.
Data breach
Digital wallets are employing many layers of security including biometric-based verification, passcodes and 2-factor authentication. Even though this is the case, there is always a chance of data breach occurring from external sources rather than internal lapses of security.
Identity theft
Social media is seeing increasing reports of hacking and stolen identity once miscreants get a hold of your financial information. Digital wallets need to increase their security-building technologies to address every concern of the consumers and protect their money against harm.
Spam calls
Another way that cyber criminals target unaware customers is by running fake call centres. They get a hold of their phone numbers and call them offering to give them a free upgrade or free gifts for shopping. In the end, they’ll ask to share sensitive information such as passwords sent to your phone which should never be disclosed to anyone.
Stolen phone
If your phone is lost or stolen, it could end up in the hands of someone who is tech-savvy enough to extract financial information from your digital wallets. This is why locking your device and wallet apps with facial or fingerprint authentication is the best. You can download security apps to turn the device off even from remote locations.
Phishing
Cyberattacks that target digital wallets also come in the form of phishing attempts. Off late, there has been a rise in email marketing scams. The attackers send mails that look exactly like legitimate ones but lead to a fake website. When the site is opened, the user is prompted for confidential information they’d normally enter for logging in.
A.I.-based fraud
On one side, the use of A.I. tech has benefited most industries in some way. On the other hand, there’s a lot of A.I.-based fraudulence happening. The easy availability of A.I. apps that can mimic a person has led to video calls that fool the audience by pretending to be someone they know and stealing their sensitive information.
What measures can we take to tighten the security around digital wallets?
It bodes well to always be prudent while sharing our e-wallet details with someone. Never scan random QR codes you might find in public and use only those from trusted shops. Creating complex and unique passwords is a surefire way to avoid getting scammed. Turning on 2FA or MFA, using anti-virus apps on your phone, enabling biometric authentication and avoiding public WiFi are some measures to protect your digital wallets.
The blog has been authored by Bahaa Abdul Hussein and has been published by the editorial board of Fintek Diary. For more information, please visit www.fintekdiary.com
