Ensuring Safe Transactions
Protecting the Customer against Identity Theft
From choosing the person to handle the credit cards to the safety of the equipment being used, the retailer must make wise decisions in the processing of credit cards. This may mean that the business owner may choose to handle telephone and mail orders involving credit cards.
Hackers More Skilled than We Think
Recently, there have been reports that 40 million credit card numbers were stolen from the computers of several national retailers. Several individuals were arrested in connection with this case as bank officials underestimated the threat of this type of computer crime just three months previously. The hackers are becoming increasingly adept at accessing credit card numbers and we are foolish to underestimate their capabilities.
Consumers Unaware of Infringement of Privacy
This most recent case involved reading the credit card numbers of consumers with a hand held device which thieves built for $150.00. As customers entered or left major department stores, the device was able to read the credit card numbers from pockets, wallets, and handbags, and the thieves entered them on a laptop computer.
Acting with Integrity
Despite the craftiness of the hackers, there are steps that the retailers can take to reduce the exposure. First, the retailer must ensure that the person who handles the credit card transactions is honest and trustworthy. This is not a task that should be handled by every employee. If necessary, the business owner could provide a wireless teminal for collecting credit card payments at tables in restaurants.
Taking the Initiative
Next, the business owner should make an attempt to ask the customer for a PIN number whenever the customer presents a debit card instead of a credit card. Using the PIN number ensures protection for the customer against identity theft, since the customer is the one who chose the PIN number for the debit card. The business owner should have a PIN pad for processing debit cards.
Consealing the Information
Finally, business owners should choose a bank which encrypts customer credit card transactions. Robert Baunchle said on July 10, 2006 in Security Search.com that, "encryption is the conversion of data into a form called a cipher text that cannot be easily understood by unauthorized people." This means when information about the customer is sent over the Internet, hackers cannot understand the material being sent and, therefore, cannot intercept it, because it is written in code.
A Question of Ethics
Many of the banks argue that encrypting the credit card transactions slows down the processing of credit cards. Should the safety of millions of credit cards be compromised because bank officials want speedier transactions? Ensuring that customer transactions are safe would eliminate widespread mistrust of the banks and government.
In conclusion, there are many steps which can be taken to insure safe credit card transactions for the consumer. Business owners should take whatever steps necessary to protect the privacy of their customers
The Money God
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