Joining together for better electronic payments security

One of the greatest weapons in the fight against cybercrime is awareness, as simple security protocols such as training and firewalls are among the most effective defenses against ACH card and wire fraud. More regulators are working to establish novel approaches to cybersecurity awareness training, while also developing laws and enforcement policies to reduce the rate of financial data-related crimes.

Experts assert that the most common causes of data breaches are human error and internal threats, which should be considered by businesses when establishing oversight protocols and training initiatives. Enterprises are well positioned to be the first line of defense against cybercrime, especially the loss and theft of financial data.

Teamwork will prevail
MRC, a global trade organization, recently announced that a variety of digitally based retailers met in Santa Monica, Calif., last week to team up against cyber crime. This type of event should be more common across the nation, as the shared knowledge among a diverse group of retailers may be helpful when building new policies to avoid payment fraud.

Since these retailers deal entirely with digital financial data, their insights were among the most accurate when it comes to online records management, wire transfer security and overall payment processing oversight. According to the organization, the roundtable served as an opportunity for all California-based ecommerce retailers to learn about new techniques to deter fraud and protect financial information.

Additionally, the event served as a neutral environment in which these businesses, which are more often competitors than teammates, could work together to strengthen the overall resolve of their industry. The host, MRC, works to spread awareness and educate retailers in the benefits of Operational Excellence specifically related to the payment process.

Operational Excellence, which is a parent term for Lean management, was launched by Toyota in the 1970s to help improve the overall success of the manufacturing sector. Since, the tenets of the strategy have spread to various industries, and have been especially helpful in reducing risks and driving efficiency among virtually every type of operational process.

MRC noted the utility of teamwork.

"Payments professionals need all the tools they can get to fight the growing and every changing fraud ecosystem," MRC's Spokesperson, Steven Mandurano, explained. "Often the best practices and strategies for mitigating risk and minimizing fraud come from collaborating with fellow ecommerce professionals."

More leadership needed nationally
Retailers, as well as alternative financial service providers and virtually any other type of organization that handles financial data, would do well to work with peers for fewer instances of ACH card and wire fraud. Since automated payments have rapidly become the new norm for payroll and a variety of other functions, fewer industries are safe from wire fraud today than ever before.

With a higher level of leadership, the private sector can begin to cut down on the rate of crimes, improving the overall integrity of their various industries. Companies that stand together against these types of issues will be more likely to enjoy financial security and brand trust.