Are Online Trading Apps Safe? – Is Online Trading Secure?

The age of the internet is upon us and has been for a decade or two, depending on who you ask. The internet has brought us something which was before only a dream or fiction, seen in novels and sometimes, TV shows. 

Online purchasing and selling, doing things with a click of a button, has been a dream of many people. We live in that dream, being able to sell and buy things with just a click or tap of a finger.

Trading has also gone online, allowing anybody from beginners to experts to trade using the internet. With a couple of clicks, you could buy and sell stocks. But, is that the way to go? Is it safe to buy and sell stocks online? 

Let us examine how secure online trading is and how one should approach it.

Online Safety – It Starts With Good Practices

Online trading is just like doing anything else online, safe until you venture where you shouldn’t. For somebody without experience, it would be relatively easy to end up on a scam site and give their money and credentials (which is even worse) without knowing it. However, to avoid that, using search engines to our advantage is simple enough.

Search for reputable online brokers and always cross-reference results. Review aggregators are the best place to start as they often provide somewhat unbiased results about their topic. Some will have affiliate links, but those are often highlighted, giving you notice up ahead. 

Stay away from shady sites which lack a secure connection. Also, stay away from sites which have performed bad in reviews.

The Apps Are as Secure as You Are

Your phone might have all sorts of wireless communication enabled which may compromise your device. While it is unlikely that you will get bluejacked or hacked through public wifi, it would be wise not to use any of those if you plan on accessing an application with sensitive information. When in public, practice not using wifi, bluetooth or NFC if you want to access an online application which contains sensitive data. You can spare some internet data for your own safety.

Dual-Factor Authentication

In case you haven’t already introduced it, you should add dual factor authentication to your own broker applications. You should add it whenever you make a new purchase. This should make things much safer in case your device gets stolen. Nobody will be able to buy or sell something with your device, or withdraw money, unless they have your PIN, password or biometrics, or whichever method you choose. Make sure not to choose the email method in case your device gets stolen and you are logged in to the email account.

Avoid Applications If

They have multiple bad reviews and have been shown to be clunky. Some can have a bad interface while others might have bad security features. Avoid applications if they have been untested and are new to the market. Stick to the mobile site if you want to stay safe. A site is still a site, no matter which device you use to access it.

Definitely make sure to avoid applications which seem like copies or unofficial versions of a broker application. 

Check on the broker’s site. Every site that has an application and is accessed through a mobile device often makes sure to notify you (even if you don’t want to be notified) that they have an application which is better.

The internet has everything, from good applications to bad ones, to people who would steal your data in a second if you don’t take the right precautions. Online trading apps are about as safe as your internet browsing and using practices are.