MALWA INSTITUTE OF

TECHNOLODGY
MBA 1ST SEM
IT & E-BUSSINESS
FUNDAMENTALS
E - COMMERCE
RISKS INVOLVED IN
E-PAYMENT
CONTENTS
• What is e-payment ?
• Why to use e payments?
• Risks involved in E-payment
Payment conflicts
Impulse buying
Dishonest merchants and financial
providers
Stolen passwords credential and password
What is e-payment ?
• It is financial exchange that takes place
electronically between buyer and seller.
Why to use e-payments ?
• Helps to sell the items faster and more
conveniently for both buyer and the seller
• E – payment systems enables faster order
processing & delivery.
• Online presence creates a stronger company
profile and yield access to new local and foreign
market.
Risks involved in E-payment
Dishonest
Stolen payment
merchants &
credentials and Impulse buying
financial
password
providers

Payment Lack of
conflicts anonymity
A) Payment conflicts
• Payment conflict of ten arise because payments
are not done manually but done by an
automated system that can cause error.
• This is especially common when payment is
done on regular basis to many recipients.
B) Impulse Buying
• Impulse buying means – sudden buying.

• E-payments systems encourage impulse buying,

especially online.

• Impulse buying leads to disorganized budgets.

C) Dishonest merchants and financial
providers
• Sometimes, some ecommerce website are fake
and if the customers does any transaction from
that website then it becomes a fraudulent
activity for that customer.

• There are fake merchants who provoke the

customers to buy the goods.
D) Stolen payment credentials and
passwords
• Sometimes whatever transaction takes place, it is
not safe. There are different modes of electronic
mode like credit cards, debit cards, e-cash etc.

• There are highly chance of passwords being

hacked by the middle men.
E) Lack of anonymity
• The information about the transaction are stored
in the database of the payment system.

• Simply means the intelligence agency has an

access to this information.
THANK YOU