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1. MALWA INSTITUTE OF
TECHNOLODGY
MBA 1ST SEM
IT & E-BUSSINESS
FUNDAMENTALS

2. E - COMMERCE
RISKS INVOLVED IN
E-PAYMENT

3. 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

4. What is e-payment ?
• It is financial exchange that takes place
electronically between buyer and seller.

5. 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.

6. Risks involved in E-payment
Stolen payment
credentials and
password
Payment
conflicts
Impulse buying
Dishonest
merchants &
financial
providers
Lack of
anonymity

7. 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.

8. B) Impulse Buying
• Impulse buying means – sudden buying.
• E-payments systems encourage impulse buying,
especially online.
• Impulse buying leads to disorganized budgets.

9. 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.

10. 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.

11. 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.