PCI Compliance for Small Businesses: Basic PCI DSS Requirements Explained

Whether you’re struggling with your payment card industry data security standard (PCI DSS) compliance or are experienced at performing penetration tests, you need to fulfill your PCI DSS obligations. When it comes to PCI DSS for small businesses, there are 12 essential requirements that you are expected to follow. 

Your compliance is essential because of the many risks involved in accepting credit and debit cards. Attackers often target payment processing tools and gateways because of the amount of money involved. If you leave any vulnerabilities in your system, attackers can steal your customers’ data and use it to make fraudulent purchases. 

By learning about PCI compliance for small businesses and who needs to comply, you can make sure your company is prepared. Read on to find out more.

TL;DR

• PCI DSS compliance is a global standard that requires companies to adopt specific measures for protecting their payment security.
• Companies must adopt logging, network security, encryption, monitoring, employee training, and testing measures.
• Even if you never store data, you still need to ensure PCI DSS compliance if you transmit or process data.
• There are four different levels of PCI compliance. Level 1 is the most rigorous. On the other side of the scale, level 4 includes most small businesses.
• PCI DSS guidelines must be used for all channels, such as online, offline, mail, and phone transactions.
• There are 12 core PCI DSS requirements that fit into six different categories.
• To protect your customers, you must use PCI-compliant gateways, processors, and terminals.
• As a part of your protective measures, you should limit access to a need-to-know basis, replace default passwords, and use a firewall.
• From accidental data storage to lack of employee training, there are a few common mistakes that could be impeding your PCI compliance.
• By working with PayCompass, you can spend less time and energy on PCI compliance. Our team can handle all of your compliance tasks and vulnerability testing, so you can focus on running your company.

What Is PCI DSS Compliance? 

PCI DSS compliance is a global set of security requirements. With PCI DSS for small businesses, the goal is to ensure cardholder data is accessed and stored in a secure manner. The DSS rules cover different protective measures and activities.

• Stored data policies and safety
• Network security measures, such as firewalls
• Staff training on security measures
• Card data encryption
• Payment logging
• Penetration testing
• Vulnerability scanning

The entire purpose behind the basic PCI requirements for small businesses is to keep your customers’ card data from getting stolen. Besides being a generally good idea, many merchant account providers also require merchants to adopt and implement these measures.

Who Needs To Have PCI DSS Compliance? 

Most likely, you’re already expected to use PCI DSS compliance for small businesses. In fact, businesses are required to adopt these security measures, even if they never store data.

PCI DSS compliance is required in almost every situation.

• All Types of Users: Merchants, payment processors, service providers, and acquirers are all required to adopt PCI DSS measures. 
• Every Channel: PCI compliance for small businesses must be used for all online, phone, mail, and in-person transactions.

Basically, anyone who transmits, stores, or processes cardholder data must protect their transactions with PCI DSS measures. The only exception is when all of your payments are handled entirely off-site, such as with Square’s hosted terminal or the PayPal Payments Standard button.

The Different PCI Compliance Levels

Many merchants struggle with PCI DSS and small business rules because of the different compliance levels. There are four levels, and each one has different requirements. You can always check with your payment gateway or reach out to PayCompass for help determining your company’s level.

The Basic Requirements of PCI DSS Compliance for Small Businesses

Navigating PCI DSS compliance for small businesses can be challenging. Because of this, there is an entire PCI DSS reference guide that covers your basic requirements. There are 12 specific steps involved in ensuring your compliance. These steps fall into six different categories.

• Creating and maintaining a secure network and systems
• Carrying out your vulnerability management program
• Protecting cardholder data
• Developing stringent access control techniques
• Monitoring and testing networks on a consistent basis
• Writing and maintaining a written information security policy

PCI DSS Compliance Checklist for Small Businesses

There are 12 essential rules for PCI compliance for small businesses.

1. Install Firewalls: Make sure your networks are protected by a firewall. As a part of this precaution, you should make sure the firewalls are up to date.
2. Replace Passwords: You should replace any vendor-default passwords with more secure passwords. Do not use the same password on multiple accounts or services.
3. Avoid Storing Card Data: Do not store full magnetic stripe information, CVC codes, or similar information. 
4. Encrypt Any Card Data You Do Store: If you have to store card numbers, the data should be masked and encrypted to keep it secure.
5. Perform Regular Updates: Make sure to update your malware and antivirus programs regularly to prevent vulnerabilities.
6. Check for PCI DSS Compliant Systems: To ensure compliance, use PCI-validated payment gateways, terminals, and processors.
7. Provide Access on a Need-to-Know Basis: Review everyone who has access to different payment accounts and systems. Information should be restricted to just the people who need to access it.
8. Enable Multi-Factor Authentication (MFA): Whenever possible, require MFA on your accounts. Even if an attacker hacks the password, they’ll still need the second authentication method to gain access. Make sure users have to log in to access any important information or system components.
9. Identify Where PCI DSS Compliance Is Needed: First, look at how you accept payments and what type of cardholder data you store. Then, consider how data and payments flow through your systems.
10. Set Up Logging: If your payment systems allow logging, make sure this option is enabled. This allows you to monitor payments for suspicious activity.
11. Conduct Vulnerability Scans and Self-Assessments: You should generally perform a self-assessment questionnaire (SAQ) once per year. Most businesses are required to have an Approved Scanning Vendor (ASV) conduct a vulnerability scan every three months.
12. Create a Written Policy: To ensure consistent security practices, create a written policy about how you’ll handle cardholder data. Then, train your workers on your security measures.

Frequent PCI Mistakes That Small Businesses Should Avoid 

Besides meeting the basic PCI requirements for small businesses, it’s important to watch out for some of the most common pitfalls that can put your customers’ data at risk.

• Assuming You’re Too Small to Matter: Unfortunately, cybercriminals often go after small businesses deliberately. They know security measures are often less stringent at smaller companies, which leaves these businesses vulnerable.
• Keeping Default Passwords: If you use default passwords, it makes your payment system more vulnerable to hackers.
• Forgetting Software Updates: To keep your system protected, you need to implement every update and security patch available.
• Accidentally Storing Data: Sometimes, businesses don’t realize that they’re actually storing some cardholder data when they take screenshots or email receipts.
• Not Training Employees: Even if you have the best written policies in the world, your security policies won’t help if you aren’t actively training employees on how to use them.

Neglecting Your Company’s Vulnerability Scans: You should be performing quarterly vulnerability scans as well as penetration testing to ensure your system is safe from attackers.

How PayCompass’s Payment Solutions Support Your PCI DSS Compliance

Whether you are concerned about your PCI compliance or have payment processing questions, PayCompass can help. Our payment solutions can effectively reduce the scope of PCI and make your compliance as easy as possible.

Rather than handle sensitive card data on your own, we route your payments through PCI-validated systems. This ensures the highest level of PCI compliance and the least amount of stress possible. Our advanced payment processing systems and tokenization features add a layer of protection to your payments, making it harder for would-be attackers to gain access.

Because we handle PCI compliance for small business accounts, you don’t have to navigate complex technical controls or data encryption. We ensure your payment infrastructure is fully compliant and constantly monitored, so you can focus on running your business.

Final Thoughts

When it comes to PCI DSS for small businesses, it is easy to feel intimidated. There are 12 essential requirements that companies must follow, but it can be challenging to implement them.

From scanning for vulnerabilities to setting up a secure password, adopting the PCI DSS that small businesses need is essential for the security of your customer data. If attackers are able to access payment information, it can harm your brand reputation and deter customers from working with you in the future. Additionally, PCI compliance is often a requirement from your merchant account provider. Not performing these measures could impact your account.

At PayCompass, our payment processing experts can simplify your PCI DSS compliance. We offer the secure encryption, tokenization, and technical controls your company needs to prevent attackers from stealing cardholder data.

If you’re struggling with PCI compliance for small businesses, we can help. Reach out to our team today to learn more.