Online Fraud: How Digital Payment Technology Helps Prevent Data Theft

One of the most widespread crimes in the Spanish digital world is fraud. Over the most recent nine years, these sorts of objections have been duplicated by nine.
According to PaynoPain, technology is a great ally to prevent online fraud related to data theft.
Cybercrime is becoming more sophisticated, and the hacking tools out there are highly effective. Cybercrimes are more common than one imagines, not only in Spain but also at a European level. According to a survey carried out by the European Commission, users say they are aware of this problem, but do not know how to stay safe in the digital environment. For this reason, PaynoPain is a Spanish technology company specializing in the development of online payment tools. Explains how technology is a great ally in preventing online fraud related to data theft.
One of the most widespread crimes in the Spanish digital world is fraud. Which manifests itself through different malicious practices to get hold of the passwords or bank details of users. Who browse and buy online. According to the Criminality Statistical System (SEC), managed by the Ministry of the Interior, of the total number of cybercrimes reported in 2019, 88% correspond to online fraud?
Without going that far, last August, the National Police detected a new and elaborate form of bank fraud that combines the use of false text messages (SMS) and subsequent telephone calls to perfect the scam. With this modus operandi, the criminals gain full access to their victims’ online banking and can make payments and transfers while maintaining communication with the fraudsters, from whom they request the necessary passwords to authorize the operations.

Safety is a priority

As netizens, it is important to know that since January 1, both physical establishments and online establishments are obliged to apply reinforced customer authentication in electronic payments, to comply with the European Payment Services Directive (PSD2). PSD2 was created to ensure consumer security in electronic payments and minimize the possibility of online fraud. To do this, the regulation establishes the obligation for payment systems to verify the identity of the user through at least two authentication elements that can be: Something they have (such as their mobile phone), something they know (such as a pin or password) or something inherent to the user (such as their fingerprint or facial recognition).

How can technology help us prevent data theft?

Tokenization, for example, is a great ally to prevent online fraud related to the theft of personal or banking information. The process consists of “encrypting” sensitive data to protect it and replacing it with equivalents known as tokens. A token itself does not have any value or meaning. It is just a reference or identifier that, thanks to the tokenization system, allows us to return to the original data. Thus, data theft is avoided in transactions with a bank card. Such as online purchases or other types of digital payments.
In this sense, PaynoPain develops solutions, such as its Pay lands payment gateway, or its CHANGE it wallet application, in which the information and communication channels are encrypted. In this way, it is guaranteed that all data travels and is stored following the strictest security standards. Which helps to prevent malicious use.
In turn, from their different payment tools. They facilitate compliance with PSD2 through 3D Secure authentication or “secure payment”. Which prevents the use of stolen data to buy online. Since the cybercriminal will not be able to specify double identification at the same time. Time to confirm the payment. They also offer PCI support, the tokenization of cards, and an intelligent anti-fraud system, capable of identifying illicit operations based on rules of conduct and previous experience.


“Technology is the best ally to provide complete peace of mind in contexts in which cybercrime is the order of the day. The digitization of payments is something that must be quick and simple, but above all, safe for the user. That is why it is important when choosing online payment solutions. They include all the necessary tools to minimize the risk of online fraud. Along these lines, the client and the vendor are furnished with an exhaustive security experience. Which ensures the outcome of the exchanges. exchanges and business”, says Jordi Ne bot, CEO and Co-pioneer behind PaynoPain.

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