A POS system makes it possible for payments to occur between customers and businesses, but these transactions must be guarded against fraudsters looking to steal information or money. Without proper security measures, such as encryption technology, customer data can easily fall into the wrong hands, leading to financial losses and damaged reputations. In this article, we explain important security features to look for in a POS system.
What Is POS Security?
POS security is a crucial component of any point-of-sale system. It is important to protect sale systems, credit card transactions, and customer data from malicious cyber attacks and physical theft. There are several measures that businesses must take in order to ensure their POS system remains secure.
Card skimming devices, malware infection, and hackers can all be prevented with the help of secure passwords and two-factor authentication. Cyber security measures such as firewalls, antivirus software, and regular monitoring should also be implemented to detect suspicious activity on the network before it has a chance to cause damage. Additionally, companies should regularly update their cloud systems with new patches and bug fixes so they remain up-to-date against the latest threats.
Physical security should also not be overlooked when protecting POS systems. Businesses should have CCTV cameras installed around key areas of their store or shop where customers place payments or swipe cards. Furthermore, access control systems like door locks and motion detectors can prevent unauthorized personnel from entering restricted areas containing sensitive information or hardware components related to the POS system.
Security Features To Look For In A POS System
Authentication Processes
When it comes to authentication processes for a point of sale (POS) system, security must be taken into account. Credit card payments are an essential part of the customer journey. They come with certain risks that need to be managed.
One way to increase security is through the use of complex passwords along with password managers which make it easy for employees to generate strong passwords without having to remember them. Additionally, all devices that have access to the POS should be protected using anti-malware solutions. This will help protect against possible intrusions which could lead to data breaches or other malicious activities.
Another important measure when it comes to authentication processes is ensuring that any transmissions containing sensitive cardholder data are encrypted before being sent over the Internet. Many organizations also implement Domain-Based Message Authentication protocols (DMARC) which allow administrators to set rules on how email messages should appear so they can detect whether they are coming from trusted sources or not. Finally, businesses should avoid using vendor-provided default usernames and passwords.
Access Control Measures
Access control measures are vital for any POS system. Without them, the system would be vulnerable to unauthorized access and malicious attacks. Access controls help protect a POS system from dangerous outside threats by managing who can view or modify data within operating systems. They also limit public networks and remote access to prevent suspicious activities that could flag potential security threats.
However, it is not enough to just install access controls, they must be applied on a need-to-know basis in order to maximize their efficiency. For instance, users should only have access to resources necessary for completing their job duties. It’s important to perform formal risk assessments as well which can help identify unnecessary vulnerabilities before attackers take advantage of them. Additionally, businesses should invest in cyber security solutions such as anti-malware software and firewalls to detect and eliminate any potential intrusions quickly and efficiently.
Benefits of Updating Your POS System
Data Encryption
Data encryption is a critical security measure that must be in place when using any kind of electronic payment system, from web-based POS systems and cloud-based POS systems to e-commerce systems. With data encryption, the customer’s credit card numbers are stored securely so they cannot be accessed by hackers or other unauthorized people. The same goes for administrative passwords – even if someone were able to access them, their length and complexity make it virtually impossible to decipher without the proper encryption key.
A great way to ensure data encryption is used with POS systems is to use a secure debit or credit card reader. This type of device has built-in measures that automatically encrypt all information before it leaves the point-of-sale terminal. Credit cards can also be processed through specialized software programs which provide an extra layer of protection against fraud and identity theft. Additionally, some companies may opt for third-party services like PayPal that offer robust encryption protocols when processing payments online.
Network Security
Network security is a critical component of any POS system. Without the proper measures in place, corporate networks are vulnerable to cyber threats and incidents that could potentially disrupt operations or expose sensitive data. It’s essential for organizations to take steps to protect their network from external locations, as well as internally.
First, it’s important to limit wireless access within an organization’s network. This means implementing a centralized authorization control system that can manage who has access and when they have access. Additionally, public Wi-Fi networks should be avoided as much as possible since these typically lack the necessary controls needed for secure transactions.
Organizations also need to prioritize internal security by taking advantage of tools such as RSI Security which provides comprehensive protection against malicious attacks and other unauthorized activities on organizational networks. By utilizing this type of software solution, companies can easily monitor traffic and detect suspicious activity before it becomes an issue.
Firewalls
It’s no secret that the world of cyber security is ever-changing and full of risks. When it comes to protecting a business’s point of sale (POS) system, firewalls are essential for keeping card information safe from malicious activities. Firewalls can be used to establish baseline cyber security controls and help ensure compliance with credit card companies and other financial systems.
When setting up web-based POS software, firewall protection must be enabled so that cellular data network connectivity is not connected directly to external networks. This will minimize the risk of fraudulent activity by limiting access to only authorized personnel within your organization. In addition, a comprehensive cyber security insurance policy should be in place in order to provide additional coverage if an incident occurs.
Intrusion Detection/Prevention Systems
The importance of intrusion detection/prevention systems in POS systems cannot be overstated. In the ever-evolving landscape of financial transactions, it is essential to keep up with the latest security measures. Intrusion detection and prevention systems provide an extra layer of protection against unauthorized access to mobile devices and payment processors, as well as bank accounts associated with a physical location’s business operations. Through regular monitoring, these systems are able to detect suspicious activity quickly, helping prevent credit card fraud that could otherwise damage the entire payment card ecosystem.
Intrusion detection/prevention systems have become increasingly important for organizations dealing with sensitive data such as financial information. By using this technology, businesses can monitor their networks on a regular basis and pinpoint any potential threats before they become serious problems. These systems use various methods such as scanning network traffic for anomalies or identifying malicious code injected into web pages to identify suspicious behavior from outside sources so that appropriate action can be taken immediately to protect customer financial information.
Technology for the benefit of the retailers?
Monitoring And Logging
When it comes to a POS system, monitoring and logging is an essential security measure. This involves the regular capturing of data that can be stored for review at a later date if needed. It also includes protection of cardholder data, such as frequent backups and term backups (daily, weekly, etc). All these measures are vital in order to ensure that recovery and restoration activities can take place with relative ease should any incident occur.
The importance of monitoring and logging cannot be understated when it comes to protecting sensitive customer information associated with payment processing systems. Such records must be held securely; failure to do so may result in serious liability issues for businesses down the line. Regular audits need to be conducted on logs to make sure all necessary information has been filed away accurately and securely.
Payment Card Industry Compliance
The payments industry is filled with security challenges. With so many financial organizations and accounts processing funds, the need for a secure payment card industry-compliant system is essential – not only to ensure that all transactions are legitimate but also to provide peace of mind when it comes to expenditure levels.
For any business utilizing e-commerce solutions or enterprise mobility management solutions, PCI compliance can help build customer trust. Without this type of certification, customers are likely to become wary about where they spend their money online and offsite locations. This means lost sales and revenue for businesses that don’t have such a system in place.
PCI compliance helps protect both merchants and customers alike from fraudsters looking to take advantage of them through vulnerable points in existing systems. It provides complete protection against malicious attempts at accessing confidential information or disrupting service delivery processes. By adhering to PCI standards, businesses can rest assured knowing that their data will remain safe without compromising on performance or functionality.
Physical Security
Ensuring physical security for company-owned devices and offsite locations, especially in the retail industry, is an important step to take when considering these measures. All businesses should have secure physical access controls on their POS terminals as well as other company-owned devices.
This can include locks on doors and cabinets, CCTV cameras, or biometric authentication such as fingerprint scanners and card readers. Physical security measures are also required at remote sites where data can be stored securely away from unauthorized personnel. Furthermore, it is essential that only those with appropriate privileges – defined by the organization’s security policy – are allowed to interact with the POS terminal in order to limit potential damage to the system.
Remote Access Security
Businesses in the retail industry, especially medium and larger organizations, must take into consideration remote access security when it comes to their point of sale (POS) systems. This is because if a breach were to occur from an offsite location, critical systems could be exposed, or worse, data may become compromised. Therefore, companies should ensure that all email accounts used for remote access are company-owned devices with two-factor authentication enabled. Additionally, business owners have the responsibility of constantly evaluating current privilege levels on these accounts as well as any other necessary security measures that may be required on an as-needed basis.
By having strong remote access security procedures in place, businesses can protect themselves against malicious actors who try to gain unauthorized access to POS systems through an external network connection. Having secure processes will also help maintain uptime during peak hours since the POS system won’t be slowed down by attempted break-ins and potential viruses entering the system. In addition, companies can potentially reduce costs associated with hiring cybersecurity professionals who would usually be tasked with monitoring such activity around the clock.
Backup And Disaster Recovery
Backup and disaster recovery is an essential security measure for any POS system. As a business owner, you must be confident that your data will survive any emergency situation or power outage. It’s the only way to guarantee that sensitive customer information remains secure and all transactions are properly recorded.
To protect your POS system from potential threats like this, it’s important to always have reliable backups in place. That means having regular copies of critical files stored offsite as well as on-site so they can be recovered quickly if needed. You should also consider using cloud storage solutions to store electronic documents, receipts, and other valuable records securely throughout their lifecycle.
Finally, any good backup strategy needs to include measures for responding to disasters when they occur. This could involve setting up automated processes and protocols for restoring lost data after an incident has occurred or establishing procedures for relocating staff and equipment in case of a physical threat. Taking these steps ahead of time can help ensure that your business operations remain unaffected by unexpected events.
Need A Safe POS Solution?
SIR Solutions is a Canadian company which has over 25 years of experience developing technological solutions for retailers of all kinds and sizes. Mainly those working in the pharmacy, fuel, food and retail sectors. If you’re looking for custom software with security features, we’ve got the solution you need.