Security protocols that regulate the safety of software solutions and transactions are multiple and can vary from country to country. Some of the industry-standard and globally-accepted security protocols for white-label payment solutions include:
1. Payment Card Industry Data Security Standard (PCI DSS)
PCI DSS is a fundamental regimen for the financial industry that regulates multiple aspects of credit card transaction management, including network monitoring, access control, vulnerability management, cardholder data security, etc.
2. End-to-End Encryption (E2EE)
E2EE protocol mandates that payment data be encrypted while being transmitted from the end user’s device to the merchant’s payment processor.
3. Secure Sockets Layer (SSL) and Transport Layer Security (TLS)
These secure communication protocols ensure encryption of sensitive financial data and PII (Personal Identifiable Information) for browsers and applications. SSL is slightly older and offers less robust protection in comparison to TLS.
4. 3D Secure
3D Secure involves three domains to ensure the authentication of cradholder: the merchant, the issuer, and the interoperability domains. The protocol may include payment confirmation via the bank app or password usage by the cardholder during the checkout process for authentication purposes.
Another layer of cybersecurity protection is when sensitive financial data is substituted by a non-sensitive token for the time of travel from the client's credit card to the merchant, reducing the risks of being stolen on the way.
6. Fraud Detection and Prevention
Big data analytics, ML, and AI technologies enable white-label payment solution providers to develop powerful fraud detection and prevention mechanisms. These algorithms usually work in real-time and check for a number of signals that may give out fraudulent activities.
Both the realm of online payments and online fraud develop at an unforeseen pace, backed by newly emerging technologies, like deep learning and artificial intelligence. This places additional importance on regular security audits, updates, and compliance risk assessments. Ensuring security in white-label payments will involve such systematic planned reviews on an ongoing basis - conducted by internal and external agents.