A practical guide to protecting businesses from fraudsters has been produced by leading communications company Ultracomms in anticipation of tougher regulations for businesses which take payment over the phones.
Ultracomms has produced a free downloadable guide to help businesses ensure they are not putting their organisations and customers at risk of card data fraud when they take telephone payments. It comes as statistics show that card fraud, in particular card-not-present (CNP) theft, has risen by almost 10 per cent in the past two years and is now seen as a “weak link” by fraudsters. In the midst of this rising threat, the Payment Card Industry Data Security Standards Council (PCI DSS) is set to tighten its rules, placing businesses under risk of investigation and fines if they fail to meet the higher compliance standards.
The step-by-step guide, called “Card fraud. It’s time to act”, highlights the various card fraud risks to businesses, including customers reading out card details over the phone which has become an easy target for fraudsters in the past two years. Under the new regulations, it is expected that this practice – still used by around two thirds of businesses – will be non-compliant and put organisations at risk of investigations and fines running into hundreds of thousands of pounds. The guide gives practical advice on how customer-facing businesses can reduce fraud risk, including:
- Embrace technology to restrict access to cardholder data.
- Regularly update anti-virus software and ensure it is fit-for-purpose to mitigate the latest risks.
- Regularly test your business’ security systems and processes.
- Assign a unique ID to each person with computer access.
- Maintain and regularly update policies that address information security for all personnel.
Derwyn Jones, Chief Executive of Ultracomms, which has its head office in Fareham, Hampshire, said: “Every business is taking a big risk whenever card details are read out over the phone, but despite the dangers, it’s still very common.
“Businesses could be heading for a ‘perfect storm’ because not only are fraudsters becoming more cunning in their attempts to get card data, but the regulator is also set to come down harder on organisations that do suffer a breach. Therefore, businesses cannot sit still and must act.
“Our guide aims to highlight the current risks of card fraud to businesses and explain the steps to ensure compliance with all the current data protection and card payment regulations. Ultimately, it’s about staying one step ahead of the card criminals in order to protect your customers and your organisation’s reputation.”
To download the guide please click here.