If you have ever used the Internet to make utility, phone, holiday, credit card or insurance payments then you will know how much time and effort you can save by doing these everyday jobs online.
In addition, Internet shopping is a booming industry. According to the Centre for Retail Research, online sales in the UK, Germany, France, Sweden, The Netherlands, Italy, Poland and Spain reached £132.05bn in 2014 and are expected to grow more than 18 percent in 2015. US online spending was $306.85bn (£189.26bn) in 2014.
But with any online payments you need to take care. The last thing you want is for the online jobs that make life easier spiralling into a cybercrime nightmare.
Avoid the following mistakes and you can safely enjoy the time you’ve saved paying bills online by indulging in a little online retail therapy.
Mistake 1: Talking about your details
Do not talk about your details. Never respond to cold phone calls or emails asking for personal information. These calls and emails are phishing scams. Do not give too much away on social networking websites. Shred documents that contain personal information before throwing them away and never write down or share account details, personal identification numbers (PINs) or passwords.
There are an increasing number of options for making payments that do not involve credit or debit cards, meaning you don’t need to share your details. PayPal is a well-known example that allows you to send and receive payments using your email address and Paym is a service being offered by some UK banks that allows you to pay friends and family using just their mobile number. If you decide to use a payment method other than a credit or debit card, find out as much as you can about it first and its security policies, particularly for new and less widely used services.
Mistake 2: Not listening to your instincts
Do you sense fraud? Make sure you are on a genuine website. Fraudsters try their best to create pages that mimic the websites of genuine companies. Before you know it you have typed in your personal details, clicked ‘submit’ and the cybercriminal now has your information to use as they please. To avoid landing on a fake website, always type the URL into the browser bar or use a bookmarked link – never clink on a link in an email or online advert.
Mistake 3: Being careless with passwords and security
Put up barriers. Set up passwords, PINs, firewalls, update your software and install an Internet security solution such as Kaspersky Total Security – Multi-Device. This will make it more difficult for cybercriminals to get their hands on your information. Do this on all the gadgets you might use to make payments – including your computers, phones and tablets. Never use easy to guess passwords. The biggest mistake many of us make is using the same password for more than one website. If that password is compromised then all of the sites it is used for are vulnerable.
If you have trouble creating or remembering strong passwords, then David Jacoby’s and Brian Donohue’s Kaspersky Daily blog posts will certainly help. Failing that, you could use a password manager, such as Kaspersky Password Manager, which is available as a standalone product and also as part of Kaspersky Total Security – Multi-Device.
Mistake 4: Not using a secure connection
Stay secure. Paying a bill online during a spare moment is a great use of time, but is your network secure? Public Wi-Fi networks are often a haven for cybercriminals, who can easily delve into your details. It’s a good idea to wait until you are connected securely instead to avoid man-in-the-middle attacks. Find out more about these sorts of attacks in the Kaspersky Daily blog post, What is a Man-in-the-middle Attack? The web address you use should also begin with ‘https://’ – ‘s’ stands for secure.
Mistake 5: Not checking your statements
Check your tracks. Read all bank and card statements to check for strange transactions that you do not recognise. If you spot any – report them. Also report card or document theft as soon as possible. Monitor your post regularly too, and check your credit report to spot any spending that has nothing to do with you.
Banks and credit card companies will usually contact you if they spot suspicious transactions on your account, but fraudsters can imitate calls like these. Familiarise yourself with your bank’s security information, which can often be found on their website, and what information they will or will never ask you for over the phone. If you receive a suspicious phone call, email or text message, do not respond. Instead call the company directly using a published phone number and ask if they have tried to contact you.
You may have heard about people making payments online using a new kind of virtual currency, called bitcoin.
Bitcoin operates with no central authority, unlike banks, and there is a limited number in circulation.
They allow you to make low-cost, instant payments to anyone, anywhere in the world through the Internet without having to trust a third party.
But the value of the currency is quite unstable. As a result of high-profile hacks and government comment on its future legal status, the currency has surged and crashed over time, peaking at more than $1,200 (£794) in 2013 and dipping below $250 in early 2015.
Its reputation has also been tainted through its association with money laundering scandals and anonymous online drug purchases.
According to The Guardian, 2015 could be a make or break year for the bitcoin currency.
Using bitcoin may or may not be right for you, but no matter how you make payments online, always remember the mistakes to avoid.
