Tips For Keeping Your POS Secure

When choosing a POS system, security should be considered alongside features, usability, and price. A data breach can expose payment information, disrupt operations, and damage customer trust.

Most reputable POS systems include built-in security tools, but merchants are still responsible for properly configuring, updating, and monitoring their systems.

What Is POS Security?

Point of sale security includes the technology, policies, and practices used to protect payment data, POS devices, business networks, and customer information from unauthorized access, malware, theft, and fraud.

This includes using secure payment hardware and software, controlling employee access, installing updates, protecting business networks, monitoring devices, and following PCI DSS requirements.

Top Tips For Making Sure Your POS Is Safe

Obviously, no software is going to be 100% immune to cyber attacks, but here are some ways you can do yourself and your customer base a favor:

• Use point-to-point encryption: Look for a PCI-listed point-to-point encryption solution, which encrypts payment data when it enters the payment device and keeps it unreadable until it reaches the secure decryption environment.
• Phase out magstripe payments: Use EMV chip or contactless payments whenever possible. These methods generate transaction-specific security data and offer better protection against counterfeit card fraud than magnetic-stripe transactions.
• Use multifactor authentication: If you are worried about unauthorized users accessing your POS hardware, you can set up additional security features to make it more difficult to gain entry. Require multifactor authentication for administrator accounts, remote access, and other sensitive POS functions when the system supports it.
• Use permissions for your employees: Many point of sale systems offer this feature in their basic package. Assigning permissions allows you to select what types of employees have access to various functions on your software. Give each employee only the permissions required for their role, and regularly remove access for former employees.
• Stay vigilant and check transactions daily: One of the easiest ways to help stem fraud is simply catching it early. Review transactions, refunds, voids, chargebacks, and unusual employee activity regularly so suspicious activity can be investigated quickly.
• Install anti-virus software: Use the security protections recommended by your POS provider. Traditional computer-based POS systems may require antivirus or endpoint-protection software, while managed tablets and proprietary terminals may restrict or prohibit third-party security software.
• Make sure your system is updated: Most POS software companies are constantly updating their services. If you have the option, make sure that you turn on automatic updates, which helps install security patches promptly. This ensures you have the most up-to-date security and will also allow your system to run more smoothly and with fewer crashes.
• Inspect payment devices: Regularly check card readers and terminals for broken seals, unusual attachments, replacement devices, or other signs of tampering. Confirm device serial numbers and limit physical access when equipment is not in use.
• Secure your network: Use a firewall, change default router and device passwords, encrypt your Wi-Fi network, and keep guest Wi-Fi separate from the network used by your POS system.

POS Security Misconceptions

Just because there are potential threats to your point of sale software’s data doesn’t mean you have to live in fear of having your data or your identity stolen. Companies are constantly updating their systems with additional security patches and online payments are safer than they’ve ever been. Here are a few more common misconceptions about POS security.

• Cloud-based POS software is inherently less secure: Cloud-based POS systems are not automatically more or less secure than locally installed systems. Security depends on the provider’s infrastructure, payment architecture, access controls, device configuration, update practices, and how the merchant protects its network and accounts.
• A POS system always needs an internet connection to accept payments: Some POS systems offer offline card payments, but availability and limitations vary. Offline transactions are stored and submitted after connectivity returns, which means they may be declined later and can expose the merchant to additional risk.
• The biggest security threat to your company is outside hackers or malware: External attackers are not the only POS security risk. Weak passwords, phishing, employee misuse, unsecured networks, device tampering, outdated software, and improperly configured systems can also expose payment data. Utilize permissions and audit your payments and your inventory regularly to catch theft or other potentially illegal activity from employees.

Final Thoughts On POS Security

POS security requires more than choosing a reputable provider. Businesses should use secure payment devices and software, install updates, restrict employee access, protect their networks, inspect terminals, and monitor transactions regularly.

Before choosing a POS system, ask the provider about PCI compliance, encryption, account security, software updates, breach response, and customer support. No system eliminates every threat, but proper setup and ongoing security practices can significantly reduce your risk.