As technology advances, businesses have access to more opportunities to scale and streamline their operations. However, it isn’t all upside, and as we move forward as a civilisation, we expose ourselves to greater risks and threats.
The cybersecurity landscape is ever-evolving due to the consistent emergence of all-new cyber threats. Whether you’re making or receiving payments, there are many cyber threats out there that could threaten your financial position.
As a result the global cybersecurity market size is ballooning with each passing year, posing a bigger threat and challenges to businesses worldwide. The market is estimated to grow from $223.7 billion in 2023 to $248.65 billion in 2024, clocking 11.2% CAGR (Compound Annual Growth Rate).
That’s why we have decided to shed light on the 6 of the most common cyber threats in 2024 and what you can do to bolster POS security in your business.
1. Phishing
Phishing is one of the most common cybersecurity threats but also, unfortunately, one of the most successful. Around 3.4 billion spam emails are sent each day, of which some could land in the inboxes of your employees.
(Source: AAG)
The way this cyber threat works is by manipulating the trust you place in a legitimate business or organisation to steal important login credentials or payment details from your business. By posing as a business that you likely know and trust, this cyber threat can catch out even the most savvy of us.
More often than not, phishing attempts will be emails containing links that will direct you to a website that can extract your confidential company data.
How to prevent it:
The best way to mitigate against phishing attacks on your business is to educate your workforce. Since phishing only needs to work on one person in your organisation to gain access to confidential data and potentially steal funds from your business, it’s important that all of your employees are on the same page.
On top of employee education, consider introducing two-factor authentication (2FA) so your employees have to go through an additional step to access your POS systems.
2. Ransomware
Ransomware is another common cyber threat that, once on your company computers, can restrict your access to important POS data by encrypting it. Typically, the hackers will then demand a ‘ransom’ to return access to your data.
In 2022, ransomware accounted for 20% of all cyber crimes, making it a threat worth taking seriously.
As a form of malware, you can only fall victim to ransomware by downloading it. You can download it without even realising it if you inadvertently visit a nefarious website or open an attachment from a phishing email.
How to prevent it:
The best way to protect your POS systems from ransomware attacks is to make sure that you regularly back up your POS data so that it’s stored securely and protected against the latest ransomware.
You can also use endpoint protection systems, which are designed to identify and block ransomware before it has a chance to get into your computer systems.
3. POS Malware
Another form of malware, POS malware, is designed specifically to target payment and POS systems.
The main objective of this type of malware is to steal sensitive data such as cardholder information, CVVs, and other important customer payment information. Once they’ve accomplished this objective, the hackers are free to use this data themselves or sell it on the dark web.
How to prevent it:
Like ransomware, the best way to protect your POS systems against POS malware is to keep your networks up to date. In this case, your Wi-Fi networks should be encrypted and secure to ward off the threat of this malware.
You can also install anti-malware programs which can detect POS malware and stop it in its tracks before it can have an impact on your business.
4. Man-in-the-Middle (MitM) Attacks
A Man-in-the-Middle attack occurs when cybercriminals attempt to intercept a communication between a customer and the payment system.
If successful, the hacker will then have access to the customer’s payment information.
How to prevent it:
To prevent this type of cyber threat, it’s best to make sure that your POS systems and payment processes are encrypted using secure protocols such as HTTPS.
You should also avoid using insecure or unstable Wi-Fi networks when processing customer payments, as this can make you more vulnerable to MitM attacks.
5. Data Breaches
A data breach is the result of an attempt to gain unauthorised access to your payment system. Breaches on a large scale can have huge repercussions on your business’s reputation and customer trust.
In 2023, around 50% of all businesses and 32% of charities reported having experienced some type of cyber security breach or attack.
How to prevent it:
Many data breaches come from within, so to legislate against this, make sure that only authorised personnel can access your payment systems and use role-based access controls (RBAC) to reduce the risk.
You can also use employee monitoring software to manage how and when your employees access your payment system.
6. Card Skimming
Card skimming requires the use of devices that can steal card information as payment is taking place. Sometimes, these devices will be placed on POS terminals, and other times, they can be embedded in malware to capture customer data without their knowledge.
From 2022 to 2023, the total number of compromised debit cards increased by 96%, and card skimming was one of the main reasons for this.
(Source: Fico)
How to prevent it:
To prevent card skimming, make sure you regularly check up on your POS terminals to identify any signs of tampering.
Promoting contactless payments is another good way to reduce the risk of card skimming.
Safeguarding Against Cyber Threats in 2024
If you follow cybersecurity best practices, you’ll likely have robust defences against any form of cyber threats in your business.
Encrypt data where possible, educate your employees on the potential cyber threats they might encounter, and control who can access your payment systems so you can minimise the risk of data breaches.
