Recently I found myself in a conversation with a young woman who enjoyed traveling the world. She had just returned from a trip to Rio de Jineiro and Sao Paulo, Brazil where she had used her credit card. She took all the precautions before leaving by calling her credit card company so they would not be alarmed when they saw the international charges. A few days after returning, she checked her online credit card statement and saw charges to an art gallery in Sao Paulo for over $4,000. She immediately called her credit card company to inform them of the charges. They cancelled the card and told her until they had more details on who used her credit card number and how they got it, she would have to pay the minimum balance on her bill. This is nothing new to her, as this is the third time her credit card number has been stolen in a foreign country.
The Payment Card Industry Data Security Standard (PCI DSS) requires all organizations that accept credit cards as a form of payment comply with strict standards that prevent cardholder information from being released to reduce credit card fraud via exposure. As consumers, we trust that when we swipe our credit card somewhere, that information will not be used again or distributed. So how do we know this won’t happen and we won’t be a victim like the young woman from this story?
There are severe consequences for companies that do not comply with the PCI DSS. For starters, the reputation of the merchant will be damaged, and their ability to conduct business far into the future will be compromised. However, as a consumer, a bad reputation and the possibility of not being able to conduct business are not enough punishment for all that we would be put through. Other actions that can be taken against the merchant include lawsuits, insurance claims, cancelled accounts, payment card issuer fines and government fines. From a merchant’s point of view, these actions could close a business and are clearly not worth neglecting the standards set by the Payment Card Industry.
Contact your Single Path representative to learn how Single Path can help your business with credit card security!