Definition PCI compliance? All thing you need to know

PCI Compliance – The Payment Card Industry Security Standards (PCI DSS) are a set of requirements that ensure all companies that process, store or transmit credit card information maintain a...

PCI Compliance – The Payment Card Industry Security Standards (PCI DSS) are a set of requirements that ensure all companies that process, store or transmit credit card information maintain a secure environment. It was launched on September 7, 2006, to improve account security throughout the transaction process. Although many assume it is the PCI SSC that enforces compliance with this standard it is actually up to payment brands and acquirers who are responsible for doing so. Interestingly, rather than managing compliance with these standards themselves the PCI council leaves enforcement in their hands; something which means they have an incentive for ensuring merchants comply as well!

The following are tools and resources from the PCI SSC:

Self-Assessment Questionnaires can help organizations validate their compliance with the PCI DSS.
PIN Transaction Security requirements for device vendors and manufacturers, along with a list of approved PIN-enabled devices.

The Payment Application Data Security Standard (PA-DSS) is a set of security controls designed to ensure that merchants and vendors can securely collect, store, process, and transmit payment card data.
Public resources:

– Lists of Qualified Security Assessors (QSAs)

– Payment Application Qualified Security Assessors (PA-QSAs)

– Approved Scanning Vendors (ASV

– Internal Security Assessor (ISA) education program

The 12 requirements for PCI DSS Compliance you need to know

Use and maintain firewalls

Firewalls are a preventive system that blocks access to the private data of companies and organizations. They’re an effective way to prevent unauthorized access by hackers (malicious or not). Firewalls are required for PCI DSS compliance because they keep away foreign entities from accessing your company’s sensitive information.

Proper password protection

One of the most important steps to take when a router, modem, point-of-sale system, or any other third-party product is acquired for use in your business is securing it. This means changing the password and adding more security measures (e.g., turning on two-step verification). In addition to taking inventory of all devices which require passwords as part of their use in your company, you should implement basic safety precautions around these items (i.e., change passwords regularly).

Protect cardholder data

In the three requirements for compliance with PCI DSS, card data should be encrypted and protected by encryption keys. Regular maintenance is needed to scan a primary account number (PAN) for unencrypted data.

Encrypt transmitted data

Cardholder data should be encrypted when being sent to any location that is known, and account numbers should never be sent to sites or locations which are unknown.

Use and maintain anti-virus

Installing anti-virus software is a good practice outside of PCI compliance and it is required for any devices that interact with or store PAN. Make sure to keep your device’s anti-virus software updated regularly, as well as from the manufacturer. Your POS provider should employ some measures against viruses where they cannot be installed directly on their own hardware, like scanning incoming emails before you open them.

Properly updated software

There are many benefits to updating your software. Firewalls and anti-virus software, for example, often need updates on a regular basis in order to keep up with the latest threats of today’s technology. Not only does it provide protection against new vulnerabilities but also improves old ones that were already discovered. Updates are especially important for all of the company’s devices that interact or store cardholder data during operation because they can be used as an additional layer of protection from malicious activity targeted at these sensitive areas within companies’ networks, which is why every piece of equipment should be updated periodically as well!

Restrict data access

Cardholder data, or any other sensitive information for that matter, is required to be strictly “need-to-know.” All staff members involved in the process of accessing this data should not have access. The roles that need such information should be well documented and updated on a regular basis – as required by PCI DSS.

Unique ids for access

Individuals who do have access to cardholder data should be prevented from sharing passwords and credentials for this type of sensitive information. Unique ID’s create less vulnerability, quicker responses when compromised, and more security.

Restrict physical access

To make sure your cardholder data is safe, it must be physically kept in a secure location. Data that is on paper or typed should be locked up along with digital information (e.g., on a hard drive). Access to sensitive data should be limited and anytime it’s accessed there should also be documentation of such access so you remain compliant.

Create and maintain access logs

The most common non-compliance issue with data handling is a lack of proper documentation and record-keeping when it comes to accessing sensitive data. Compliance requires documenting how the flow of information into your organization happens, as well as the number of times access, has been needed. You need software products that will log all this information for you so that accuracy can be ensured.

Scan and test for vulnerabilities

The ten compliance standards from the past all involve different software products, locations, and employees. In order to limit threats of malfunctioning or out-of-date items, we need to fulfill PCI DSS requirements for regular scans and vulnerability testing.

Document policies

Documentation for compliance is crucial and will need to include the documentation of equipment, software, employees with access as well as logs of cardholder data that are accessed. Documentation on how information flows into your company should also be included along with where it is stored after being used at the point of sale.

Advantages of PCI compliance

Complying with PCI Security Standards seems like a daunting task. With the maze of standards and issues, it’s easy to believe that larger organizations will be unable to comply in addition, smaller companies may find it even more difficult – but this is not always the case. In reality, compliance is becoming more important and while you might not have as many tools available as large companies do, complying shouldn’t seem like such an impossible obstacle after all.

Compliance with PCI SSC- especially considering the grave and long-term consequences of noncompliance- can be beneficial. For example:
PCI Compliance means that your systems are secure and can be trusted with sensitive payment card information; people will feel confident in you, leading to repeat customers.
PCI compliance help stop recent data breaches and protects your business’ reputation with acquirers and payment brands – the partners that you need.

Being PCI compliant means you are helping to prevent security breaches and payment card data theft in the present and future; compliance with PCI standards means that your business is part of a global solution.
The PCI Compliance process is a first step to meeting compliance with additional regulations, like HIPAA and SOX.

PCI Compliance also helps a company’s security strategy by providing at least one starting point.
PCI Compliance likely leads to an improvement in IT infrastructure efficiency

Disadvantages of PCI compliance

The PCI Security Standards Council tells us that it is possible to not be in compliance, which can have disastrous results. After all the work you put into building your brand and securing customers, why take a chance with their sensitive data? Meet PCI Compliance so you can protect them and continue to keep them as customers. Possible consequences of Non-Compliance include:

Compromised data is harmful to consumers, merchants, and financial institutions.

Damaging your reputation and making it difficult for you to do business effectively- not just today, but into the future.
The result of account data breaches can be catastrophic. Sales will oftentimes spiral downward, and relationships with customers are lost. Share prices of public companies often plummet as a consequence too, resulting in the public getting more pessimistic about them.
When a customer files a lawsuit, incurs insurance claims, cancels an account, or is fined by the payment card issuer or government (for instance for violating privacy regulations), we will have to spend money to clean up their mess.

PCI Compliance, like other regulatory requirements, can pose challenges to organizations that are unprepared to deal with protecting critical information. But data protection is more manageable when you use the right software and services. Choose a data loss prevention software that accurately classifies your card holder’s data and uses it properly so you’ll be able to sleep soundly knowing your cardholder’s sensitive information will remain safe.

How much does it cost to be PCI compliant?

Becoming PCI compliant carries a range of costs. What you can expect to pay depends on your merchant level, which is dependent on variables such as:

Your business size, location, and the type of organization you have will be key factors in choosing a payment processor. For example:
The number of card-based transactions your company processes annually – whether they’re processed at in-person or online events.
How you capture and process payments (i.e., if

There will be some indirect expenses associated with the process of employee training. For smaller organizations, this might not be mandatory but it is often required for larger ones. Upgrading magnetic stripe POS terminals to more secure EMV-enabled readers also carries a price tag and the same applies to eCommerce merchants who protect their visitors by adding SSL certificates on their sites. Of course, you have direct PCI compliance fees – normally calculated and charged by your payment processor.

It is difficult to provide an exact “cost” for PCI compliance. However, smaller organizations can expect to pay $300-$500† annually, while multinational enterprises might spend $70,000-$100,000† a year.

In contrast, the real costs come from non-compliance. You may receive penalties of up to $100,000* a month if you don’t meet security guidelines or suffer data breaches (which often lead to expensive legal battles and investigations). And that isn’t all – diminished consumer confidence and fewer sales are just a few more things you may experience because of those failures.

How do the PCI DSS compliance and the certification?

That being said, you should now know the goals and requirements that PCI DSS entails. What are you going to do with this knowledge? You will be assessed against these guidelines whether or not it is something that interests or pleases you. So, the best thing to do would be understand how this can impact your day-to-day tasks and responsibilities

Only using PCI PTS certified devices

If you’re using an old point-of-sale device (POS) that doesn’t meet current security standards, it may not protect against potential threats.

One way to simplify your security is by starting with a modern POS. These types of machines are PCI PTS certified, which means they meet the standards for payment terminal transactions and are protected from third-party access to cardholder data. They can be submitted for inspection and certification as well, so you know that if it’s been approved then there won’t ever be any danger in using it.

Avoiding hidden costs

You will need to decide whether it’s worth the cost of compliance consultants if you cobble together your own payments processing, or use non-P2PE devices. Ask yourself how much would you want to reduce your budget by not making this investment? It can quickly add up!

Ensuring your small business is PCI compliant

PCI compliance is required for businesses that have electronic transactions, like most small merchants. They are passionate about their products and services, but PCI compliance can be time-consuming to deal with when you don’t understand its value of it. The good news is now you know what’s at stake! You should start by understanding why a company would need it first

Small business owners should be aware of the PCI compliance requirement

Merchants are placed into different compliance levels based on the volume and type of transactions they process. Most businesses processing less than 20,000 e-commerce transactions per year fall in level 4, with all other merchants that process up to 1 million per year falling in level 3. Your Merchant Level is also determined by certain information about how your payment system is configured; this will determine which SAQ you’ll need to complete.

Choosing the exact point of sale system can affect your PCI compliance

In the past, all a business needed to get started were an inventory and cash register. But if you want to accept credit cards as payment, you will need a merchant account with a card processor. Modern POS systems bundle processing together with other services for merchants so that your business is set up for success

Clover POS system is a very efficient way to keep your PCI compliance in good what it should be. With P2PE encryption, PTS-certified equipment and automatic reminders for audits and SAQs, you can’t go wrong with this POS system. Clover Security also helps by providing support as well!