Auto lenders adding mobile payment options should be wary of cyber criminals seeking to exploit the convenience of point-of-sale transactions, Experian advised in a recent report forecasting the top cybersecurity trends of 2020.
“Today, consumers expect to have the option to pay with a mobile option virtually everywhere,” the report said. The mobile payments industry is expected to reach more than $4.5 trillion by 2023, but as financial institutions look to boost convenience, “there are also real concerns about the security and privacy of some mobile payment platforms,” Experian said in the report.
The agency warned businesses against using low-cost mobile point-of-sale platforms, which often lack robust, built-in security features. As such, financial institutions must carefully vet vendor products and solutions, Experian noted, despite the rush to adopt these new payment platforms. Consumers need to be vigilant too, as cost efficiencies could lead to cyber criminals tampering with transaction amount or basic identity theft. Experian predicts that there will be “a significant spike” in identity theft next year.
Other cybersecurity trends Experian outlined in its report include the vulnerability of free public Wi-Fi systems, as cyber criminals look to steal consumer data from connected devices, and text-based identity theft techniques to spread fraudulent messages disguised as fundraising initiatives.
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