A recent report reveals that Malaysia had the 11th highest number of data breaches in the second quarter of 2022, affecting more than 665,200 Malaysians - a staggering 733% increase in the last quarter alone.

These alarming statistics underscore the critical need for e-commerce businesses to adopt PCI-DSS to safeguard themselves and their customers’ data against the threat of cyberattacks.

What is PCI-DSS?

PCI-DSS stands for Payment Card Industry Data Security Standard, it is a comprehensive card security standard regulated by the world's leading card associations: American Express, Discover, JCB, MasterCard, and Visa.

PCI-DSS evaluates a payment account's data security by assessing the processor's network and software architecture along with its security policies and data protective procedures. This set is required for any provider who stores, processes, or transmits cardholder data.

It serves as a protocol to evaluate security controls and identify potential threats when handling customers’ card information, leading to an overall improvement in security posture. To understand more about the technical side of PCI-DSS, you can check this article on What is PCI-DSS?

By adhering to the PCI-DSS, your business is able to transmit, process and secure customer card data under best security practices. This protects both the business and its customers from fraud and data breaches.

Businesses are categorized into 4 levels of PCI-DSS compliance depending on their transaction volume. The more transactions a business processes, the higher the risk of a data breach, and therefore, the more rigorous the compliance requirements. These defined levels guide businesses to meet corresponding compliance standards, thereby helping them avoid penalties associated with non-compliance.

The 4 levels of PCI-DSS compliance are:

• Level 1: Businesses processing over 6 million card transactions annually

• Level 2: Businesses processing between 1 and 6 million transactions annually

• Level 3: Businesses processing between 20,000 and 1 million transactions annually

• Level 4: Businesses processing less than 20,000 transactions annually
  
  

Why Does PCI-DSS Matter?

In just the first two months of 2023, Malaysia's National Scam Response Center reported losses amounting to 27 million RM (1.23 million USD) due to cyber attacks. These figures underline the severe data breach risks in Malaysia and stress the urgency for businesses to adopt PCI-DSS to ensure secure operations.

Non-compliance with PCI-DSS guidelines puts businesses at risk of data breaches, fraud, financial losses, and reputational damage. Hence, achieving PCI-DSS compliance is paramount for businesses. It not only helps to prevent fraudulent activities and financial penalties from banks, but it also builds trust with customers, fostering a stronger brand reputation.

How Does PCI-DSS Work?

Assess

By ensuring consistent upkeep of a secure network and firewall, alongside continuous monitoring and testing, PCI-DSS can help pinpoint vulnerabilities that might jeopardize your business's information security policy. Adopting PCI-DSS protocols, you can identify possible security gaps early, empowering your business to stay one step ahead of potential risks.

Repair

During the repair stage, PCI-DSS will handle any security issues that are identified in the assessment. By removing any suspicious cardholder data and implementing strong access controls, you can ensure that payment is secured and build trust with customers. This approach not only safeguards your brand reputation but also shields your business from potential losses due to fraud or data breaches.

Report

The final step involves creating reports that attest to compliance with the standards, offering proof that security controls are in place and working effectively. These compliance reports are then shared with both the bank and your business’s stakeholders.

What Is The Best Way To Be PCI-DSS Certified?

PCI compliance is required if your business handles customers’ card data. The process to achieve the certification is not an easy one. Without any third-party assistance, it can take at least 6 months – even extending as long as an entire year. An option to get certified is to take advantage of third-party solutions (point solutions) for pieces of the entire process. This would reduce your time and effort but is not the quickest and most efficient way.

Partnering with a payment provider that is PCI-DSS certified is one of the most effective ways to handle card data and take online payments without the need to go through the process of becoming PCI-compliant yourself. PCI-compliant payment providers offload your data security burden helping mitigate the risks of data breaches and fraud.

Check out our article Payment Gateway 101: The Ultimate Guide For Malaysian Businesses to learn more about payment gateways

Opn Payments is a payment gateway that is designed to help e-commerce brands maximize their sales and conversions while at the same time mitigating chances of fraud and data leaks. Opn Payments is a PCI DSS Level 1 Service Provider. Every year the system goes through a rigorous auditing process to remain compliant with the latest security standards.

Opn Payments provide businesses with the most secure, seamless checkout process, protecting brands from any threats of cyberattack. By integrating with Opn Payments, you don’t have to worry about the complicated process of building your security compliance.

Opn team support is available 24/7 to answer any questions that you may have on the journey of protecting your business and customers’ data. Contact us today!

Source: PCI-DSS is a set of security standards for businesses to follow How does PCI-DSS work 4 PCI Compliance Levels Malaysia was the 11th most data-breached country in the second quarter of 2022 and increased by 733% 665,200 Malaysian have been breached from April to June 2022 National Scam Response Center of Malaysia received 3,482 genuine calls reporting losses of 27 million RM