OVERCOMES OF PROBLEMS IN

ELECTRONIC PAYMENT SYSTEMS:

1. Encryption:
Online shopping are very sensitive to notion that e-
commerce is insecure, particularly when it comes to online
payments. Most online payment systems use an encryption
system to add security to the transmission of personal and
payment details. There are various encryption schemes in
use to prevent from frauds of online payments.
2. Firewalls:
A firewall is an integrated collection of security
measures designed to prevent unauthorized electronic access
to a networked computer system to protect private network
and individuals machines from the dangers of the greater
internet, a firewall can be employ to filter incoming or
outgoing traffic based on a predefined set of rules called
firewalls policies.
3. SET (Secured Electronic Transaction):
Secure Electronic Transaction is an open-source
encryption and security specification designed to protect
credit card transactions on the internet. Remember that a
secure electronic transaction is not a payment system; it is a
set of security protocols 0and format that ensures that using
online payment transaction on the internet is secure. Secure
Electronic Transaction is also called SET. SET provides a
secure environment for all the parties that are involved in the
e-commerce transaction. It also ensures confidentiality. It
provides authentication through digital certificates.
4. PCI Compliance:
 PCI compliance is the most important security
consideration, as not following these protocols could land
you in legal trouble. So what does PCI stand for? PCI is
short for the Payment Card Industry. This organization is
responsible for setting security standards for electronic
payment processing. 
5. SSL Protocol:
SSL stands for secure sockets layer, a fancy phrase that
refers to an internet security encryption protocol. One way to
tell a website is using SSL is to observe whether its URL
starts with https. Website URLs that start with https have an
SSL certificate. That certificate is essentially proof that the
site is using SSL encryption. Another common symbol
associated with SSL is the padlock. If a site has a padlock
that appears near its URL, its SSL certified.
6. Tokenization:
Tokenization is an extra layer of security that protects
customer payment data. Offered by some payment
processors, tokenization happens when a program converts
payment data into a random string of numbers. 
7. 3D secure:
When a customer goes to pay for a product or service
online, 3D secure adds an extra layer of authentication that is
administered by the cardholder’s bank. So, if a customer is
using a Visa card to purchase a product on your site, Visa
would be the one handling the final authentication test.
These tests can include entering pin codes or using biometric
scans and it’s performed by the card issuing bank. This extra
layer of online payment security helps ensure that the person
 using the card is the actual person to whom the card was
issued.
8. Updated operating systems:
A simple but often neglected detail that can affect
payment transaction security is whether or not your
computer operating system (OS) is current. Be sure to
regularly check for updates on your computer. These updates
often fix the security issues of previous versions.
Future Scope of Electronic Payment
Systems:
According to the Federal Reserve’s Diary of
Consumer Payment Choice, debit cards are the most
frequently used form of payment, accounting for 30% of all
payments. The use of cash has stayed steady in recent
years, around 26% of all sales. But it continues to slowly
slide. Electronic Payment Systems has an extensive
potential for growth considering the growth of internet.

1. Contactless Credit Cards:

Credit card companies constantly expand what they do
for customers, and that includes the new contactless credit
cards. They will soon replace cards embedded with the
EMV chip that makes purchases more secure (although
contactless cards still have chips). With a contactless card,
a customer simply taps a card on the register, and the
purchase is processed. But retailers must have the right
equipment to allow contactless cards to work.
2. Wearable Technology:
 While still a smaller segment of the electronic
payment processing industry, wearable technology
continues to grow. Examples include FitBit Pay, Apple
Watch, AmazFit, and Kerv Ring. These payment methods
have especially become popular at large events, such as
music festivals, and at amusement parks.
3. Biometric Payment:
Visa has launched a biometric payment card pilot
program that uses fingerprint recognition rather than a PIN
or signature to authenticate a cardholder for a transaction.
According to Visa, “The cardholder enrolls the fingerprint,
which is securely stored on the card. When he or she places
the finger on the card’s sensor during a transaction, the card
senses whether the scanned print is the same as the print
stored in the card.”
4. Reward Revolution:
In order to drive more value out of their purchases,
48% of the consumers switch reward cards. 42% of the
consumers would switch cards to get signup bonuses. 66%
of the consumers prefer businesses offering rewards to
redeem/bonuses at the POP or POS. There is a reward
revolution and an ecommerce business has to be a part of
this.
5. Voice Commerce:
Voice search, it is an invisible computer interface. In
the near future, we will be doing most of the computer
interactions through voice and this will not take more than
10 years. Google, Amazon, Apple and other giants have
launched AI-powered applications with conversational
 voice interfaces. By 2021, an estimated 1.83 billion users
will have voice-enabled devices. Applications like Alexa
and Google Assistant are already an integral part of our
life.
6. Payments using AI:
The spread of AI-based payment technology such as
chat bots, speakers, deep learning softwares, and machine
learning tools has created a revolution in the electronic
payment segment. With the help of chat bots consumers
can easily get the solution of their queries. Also, they can
use chat bots for placing orders. Speakers can also be a
good source of accepting payments. Users just need to use
the mic icon to initiate. The in-built system of the speakers
will fetch the details and process the payment immediately.
Usage of AI into electronic payments has made it easier for
businesses to maintain transparency.