How is Cloud Influencing Payments?

By CIOReview | Tuesday, November 12, 2019

The growing portfolio of payment channels adds new levels of difficulties to payment processing, which usually requires systems form numerous vendors. Due to these different methods of bill payment, businesses are wasting billions of dollars every year.

Fremont, CA: Businesses can provide their customers with convenient payment options, simultaneously saving time and money by transitioning payment transactions to an integrated cloud payment system. A recent study by American Express on cloud-based payment systems states that most of the mid-market companies agree that transitioning a company's payment transaction to the cloud is budget-friendly and a needful option as the technology turns out to be more advanced. 

Cloud-based Integrated Payment Processing

Cloud technology is present in every industry, and it is finding its way in every aspect of business and consumer lives. Businesses of every size are transitioning their business to the cloud. Cloud computing, with the help of groups of remote servers and software networks, delivers data storage that is centralized and gives online access to computing resources or services. 

One of the most significant benefits is that cloud bestows the businesses with is the ability to concentrate on core competencies and delivery of high-quality products and services to the customers rather than IT infrastructure. While taking form, a cost angle cloud allows companies to transition to an OPEX model and avoid traditional CAPEX costs. 

Integrated cloud-based payment systems allow businesses to handle checks, ACH, credit cards, and cash by automatically posting processed payments to their respective banks, and incorporate A/R systems through a single, PCI-compliant cloud-based system. 

Benefits of Cloud-Based Payment Solutions

Cloud-based payment solutions enhance the client experience with multi-channel access and easy to use interfaces. It increases efficiency and saves costs and time. There is a rapid software update, and enhancements and matching and posting of data are automated, which leads to minimizing human error. 

Cloud improves the scalability and flexibility of an organization and provides greater insight into enterprise A/R activities. The companies can work from a simplified dashboard-driven reporting tool, which improves cash flow and accelerates payment processing speed. 

The Security Concerns

Although the security technology landscape has matured over time, data security remains one of the hurdles for businesses while moving to the cloud. According to a report by Trustwave Global Security in 2014, cardholder data is the most common type of data targeted by the attackers. An underground marketplace is established for stolen payment card data, that is bought and sold in a fraction of a second to utilize it in fraudulent transactions. One significant merit of cloud-based processing is the ability to encrypt card and payment data when it is processed on cloud platforms. 

The companies that have a limited IT resource, outsourced payment processing partners with expertise in payment security, act as an added benefit that eases the stress of security and compliance and lets the company focus on the core business. 

Companies should choose a payment partner that fulfills the appropriate levels of PCI DSS security standards and uses end-to-end encryption to operate securely, control, and manage the payment data components form the operating system and virtualization layer, until the physical security where payments are being monitored. 

Any individual who is well acquainted with cybersecurity is familiar with the fact that people with wrong intentions have an excess of time and resources on their side, and are improving their skills gradually. Hence, cloud payment safety concerns relieve business vigorously. 

Check out: Top Payment and Card Consulting Companies