Updated July 5, 2023
Introduction to Threat to E-Commerce
The following article provides an outline for the Threat to E-Commerce. E-commerce refers to transactions and selling of goods on the internet. It refers to online commercial transactions. Many innovations, such as mobile business, internet marketing, online transaction processing, electronic funds transfers, electronic data (EDI), stock management, chain supply administration systems, and automated data collection systems, can be implemented for e-commerce.
The danger of e-commerce comes from using the internet for unfair purposes to steal money and the infringement of protection. E-commerce risks of different kinds occur. Many of them are accidental, and some of them are attributable to human errors. Electronic payments, e-cash, data misuse, credit/debit card fraud, etc., are the most common security threats.
Electronic Payments System
Electronic commerce has become integral to human life through the exponential growth of computer, mobile, and network technology. The consumer can order items in e-commerce at home and save time. A store or store doesn’t have to be visited. In a very short period, the consumer can pick multiple online stores and compare products with different features, such as price, color, and quality. E-Commerce plays a key role in electronic payment systems.
Electronic payment systems refer to paperless currency transactions that e-commerce organizations use. Company distribution was revolutionized Through documentation, transaction, and labor costs. The operation of e-commerce is user-friendly and time-consuming rather than manual. The e-commerce company allows an enterprise to grow its market. The electronic payment system poses a certain risk.
Types of Threats to E-Commerce
Given below are the types of threats to E-Commerce:
1. Automated Teller Machine
The fraudster will steal our information from this favorite location.
Given below are some of the main methods criminals use to collect our card data:
- Phishing / Vishing: Phishing is an intruder’s operation where a user has gathered confidential information such as passwords, usernames, and card numbers, mostly for malicious reasons, etc. Vishing is an operation where an attacker receives sensitive user information through mobile text messages. These SMS and calls seem to be from a trusted source, but they’re fake. The primary aim of the procedure is to include the PIN, account information, and customer passwords.
- Skimming: The method connects an ATM card reader with a data skimming tool. The information is copied from the magnetic strip to the computer when the customer swipes his card in the ATM reader. The specifics of the card number, name, number, CVV, expiry of the card, and other information are therefore made available to offenders.
- Online Transaction: The customer may make an online purchase to shop for online payment. Customer always easily hacks into our network and steals our private information. It’s as easy as the customer. Some important ways our privacy information is processed during an online transaction.
2. The Risk of Fraud
The risk of fraud is huge in an electronic payment system. Electronic devices use a person’s identity to approve a payment. For example, passwords and security issues. Such authentications do not have complete proof of a person’s identity. The program does not know who is on the other side of the password, and the security answers are matched. When anyone has access to our password or answers to our security issue, they will get access to and steal our money from us.
3. The Risk of Payment Conflicts
An automated computer machine handles payments in electronic payment systems, not by individuals. The program is vulnerable to errors when it regularly manages large sums of payments with many clients. When each pay period ends, it is important to review our payroll to ensure everything is meaningful regularly. Payment disputes may result in technological breakdowns and anomalies when this is not accomplished.
4. The Risk of Tax Evasion
Internal Revenue Service legislation requires every corporation to disclose its financial transactions and to provide documents to ensure tax compliance. Electronic systems are troublesome because they don’t offer this paradigm clean. This is quite difficult for the Internal Revenue Service to raise revenue. Payments obtained or made via electronic payment systems are available to the company. The IRS does not know whether or not it tells the truth that tax evasion is easy.
5. Denial of Service Attacks
A denial of service attack is a security intrusion that prevents attackers from accessing the electronic device by legit (correct) users. It disrupts the infrastructure of a host connecting to the Internet to network tools that are not accessible to its intended users.
This is an illegal way to listen to private network contact. It does not interfere with the normal operations of the targeting program so that the sender and the receiver do not know that their communication is being monitored.
We hope that this EDUCBA information on “Threat to E-Commerce” was beneficial to you. You can view EDUCBA’s recommended articles for more information.