Why is there an increase in online payment frauds in India?<\/h2>\n
With demonetization, nearly a third of India\u2019s population resorted to digital payments to continue running businesses<\/a>.<\/span>\u00a0With different types of payments making the rounds, consumers often become too trusting with third-party payment service providers<\/a><\/span>. Some of the most common reasons why online payment frauds are:<\/p>\n Mobile payments<\/a> <\/span>are rapidly gaining traction among millennials.<\/p>\n For instance, millennials adopted mobile payments as a means to have a more user-friendly experience.\u00a0<\/span>They are in fact the largest audience in terms of online payments. Additionally, they also make one online transaction daily. While browsing online, millennials might accidentally open an unsecured website that could steal sensitive information.<\/p>\n Also read: How does Instamojo help businesses handle online payment fraud?\u00a0<\/a><\/span><\/strong><\/p>\n Banks repeatedly ask customers not to share sensitive information with third parties. Despite this, hackers weasel a way to illegally obtain information online. Hackers may also pose as legitimate representatives and contact\u00a0credit card owners asking for sensitive information. Some of the most common types of online fraud in India are:<\/p>\n Phishing is the process of accessing a customer\u2019s personal information through fake e-mails or websites. For instance, these hackers pretend to be representatives of the users’ banks and get them to reveal sensitive information. Any emails or websites that require personal or private information such as credit card information<\/a>,<\/span>\u00a0<\/span>bank account\/login credentials can fall prey to phishing in that case. Additionally, phishing can also take place through SMS.<\/p>\n Through this fraud, hackers reroute traffic from online stores<\/a>\/websites by hijacking part of it and directing visitors to a different website. The unwanted site may also contain potentially malicious material that hackers use to enter a security system.<\/p>\n Hackers target credit card users, online payment account holders, and online store owners by asking for money in advance in return for a credit card or money.<\/p>\n This method involves hackers setting up a merchant account using a legitimate business site and charging stolen cards. In brief, the hackers steal the information and disappear from the online space before the cardholders discover the fraudulent payments. Moreover, this could also affect a merchant’s credibility via chargebacks<\/a><\/span>.<\/p>\n Presently, payment gateways are taking the extra step to ensure that all digital payments are safe. As a result, safety measures for businesses and individuals have increased with the introduction of UPI<\/span>\u00a0and wallets,<\/span><\/a>\u00a0<\/span><\/p>\n Some of them are:<\/p>\n Instamojo has developed foolproof methods to ensure safe and secure payments for all online users.<\/p>\n Instamojo online payments are compliant with Payment Card Industry Data Security Standards<\/a> <\/span>as a measure to make sure that the transaction data is 100% safe.<\/p>\n\n
Why are Millennials the most affected?<\/h2>\n
Types of online payment fraud in India:<\/h2>\n
1. Phishing<\/strong><\/h5>\n
2. Pagejacking<\/strong><\/h5>\n
3. Advance Fee and Wire Transfer scams<\/strong><\/h5>\n
4. Merchant fraud<\/strong><\/h5>\n
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<\/p>\nHow are payment gateways tackling online payment frauds in India?<\/h2>\n
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