Comprehensive Guide To Build Secure Fintech App

Table of content:

1. Introduction

2. Why Security of Fintech Apps important in the fintech industry?

3. Steps to build a secure fintech app

1. Biometric Access

2. 2-factor Authentication

3. Data Encryption

4. Role and Authority Access

5. Payment Blocking

6. Secure Code

7. Secure Server

8. Secure Logic

1. Use OTP feature

2. Short login session

3. Password Change

9. Keep logs of activities

10. Manage Third-Party

4. Hire Fintech App Developer to build a secure fintech app

5. Wrapping Up

Introduction

Fintech applications are playing an increasingly important role in the lives of individuals. In the near future, they will become even more essential, as they will be involved in all aspects of our lives. A secure fintech app would therefore be a necessity. 

Security is a major concern for any company, especially in the financial sector. Security breaches can result in huge losses and can lead to a loss of trust from customers. This article discusses how to build a secure fintech application.

There are many different aspects that need to be considered when building a secure fintech application, let's dive deep - 

Why Security of Fintech Apps important in the fintech industry?

The financial industry faces a lot of security risks. It's not just about money, it's also about personal data. Customers are at risk of getting their financial information stolen or misused in some way.

The use of fintech apps is increasing in the financial industry and with that, there is an increase in security concerns. There are various ways to keep customer data safe but it’s not always possible to do so.

So, let’s learn what majors we can take in fintech app development to protect sensitive data and make the application secure.

Steps to build a secure fintech app

Follow the below guide for fintech application development - 

1. Biometric Access
   Biometric security is a more secure way of logging into an application. It can be used for a variety of applications and is more secure than traditional passwords. So, by using biometric features one can enhance the existing security of the application.

2. 2-Factor Authentication
   2-factor authentication is a security measure for applications that requires the user to provide two proofs of identification before being allowed to log in. 2-factor authentication can be achieved by using a password and a one-time code generated by an external device such as an SMS, email or a physical token generator. This security measure has been widely used in the fintech sector due to the high risk of cyberattacks on their systems. It is one of the best ways to protect user accounts from fraud and hacking attempts.

3. Data Encryption
   Encryption is the process of obscuring data/information by converting it into a form unreadable without special knowledge". For this purpose, there are different types of encryption algorithms like asymmetric (public key), symmetric (secret key), or hashing functions that can be applied to data files. The most commonly used one is the AES 256-bit encryption algorithm that uses asymmetric cryptography and public-key cryptography to encrypt.
   This is the most secure feature that every Fintech App Development Company should use.

4. Roles and Authority Access
   Authorizations and roles specify which objects and activities users are allowed to execute. When developing secure financial software, it's crucial to define access control rules. RBAC controls network access depending on the user's relationship to the company.
   Administrator, Manager, IT specialist, Online support staff, and Customer, for example, the following are the roles that your company plays. Normal employees and terminal users will not be able to access company data due to a varied access levels. As a result, both internal and external security risks will be reduced.

5. Payment Blocking
   A payment blocking security is a feature that helps to prevent phished and fraudulent transactions. This security either restricts or blocks payment card usage on certain categories of transactions. This is helpful in many cases like if a company’s transaction volume was drastically high in the past, it might want to restrict its transactions for a period of time so as to not exceed the fraud detection threshold.

So, using payment blocking methods is a must for the fintech software development company.

6. Secure Code
   Among the most critical aspects of financial software is secure code. It's critical to design suitable algorithms because they'll make it much easier to spot any problems in the code. Make absolutely sure the code is adaptable and portable across platforms and operating systems.

Whenever it comes to safeguarding your app's code, here are some best practices:

• Add Verification of Input
• Check Data Overflow 
• Deny Access to all app functions by default.
• Creating rules for access control

7. Secure Server
   Make sure to use the secure server. All of your user data and all the organisational information is going to be stored there. So, it’s highly recommended to use a fast, secure and reliable server for fintech applications.

8. Secure Logic
   Apply logic in such a way that it provides more or additional security to the application. Fintech development company must use logic very gently to protect user data or additional access. In such a way one can develop a secure fintech application.
   Following are the logics you can use while developing a secure fintech app -
   
   1. Use the OTP feature - One-time password features provide an additional layer of security. Dynamic passwords are generated for a limited time whenever the user wants to log in.

2. Short-login Session - Reduce the session time to provide the extra layer of security to protect financial information. Because, if someone(hacker) gets access to the account accidentally, they have much less time to import or steal the important data or information.

3. Password Change - Frequent password changes should be mandatory to reduce the risk of stealing data or to protect the data. Resetting passwords quarterly is recommended.

9. Keep logs of activities
   In order to stop or prevent fraudulent activities, keep logs of user activities such as transactions, data about ID, IP address, geolocation, mobile devices and more.

10. Manage Third Party
    The use of third parties is causing a lot of security risk or instability of the apps as sometimes bugs create a lot of instability. So, monitoring of third parties on a regular basis is a must to ensure the security of applications. These include a policy of action, monitoring and alert, and updates to the latest stable and secure version.

Hire Fintech App Developer to build a secure fintech app

To develop a secure fintech app, hiring the best fintech app developer with expertise in the current domain is recommended. Expertise in writing the super-secure code without bugs, knowledge of the fintech industry, data and security of apps are necessary.

Wrapping Up

No doubt, Fintech is growing very speedily and with digitalization users want to manage everything on their mobile. So, providing them with a secure fintech application that fulfils the end-user needs without any interruptions, without any doubt of stealing data, security issues must be ensured.

The fintech mobile app development company understands the security concerns in the fintech industry very well and thus provides the best solutions for developing fintech applications that are fast, reliable, secure, and bug-free.

So, to develop a secure fintech app connect with the best fintech app development service provider who ensures the security of the applications.

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Originally Published at - Secure Fintech App Development - Guide