CompTIA CASP+ Practice Test

When dealing with risks in online payment processing, why is outsourcing a recommendation?

1. It reduces the complexity of compliance requirements.

2. It guarantees higher profit margins.

3. It allows faster setup of online systems.

4. It eliminates the need for internal training.

The correct answer is: It reduces the complexity of compliance requirements.

Outsourcing online payment processing is recommended primarily because it reduces the complexity of compliance requirements. When organizations process payments internally, they become responsible for ensuring that their systems meet various regulatory standards, such as PCI DSS (Payment Card Industry Data Security Standard). This involves staying up-to-date with ever-changing compliance regulations, implementing robust security controls, and conducting regular audits, which can be resource-intensive and complicated. By outsourcing to specialized third-party payment processors, organizations can transfer much of that compliance burden. These third-party vendors are often well-versed in handling the regulatory requirements associated with payment processing and invest heavily in meeting those standards, reducing the need for the organization to develop and maintain an in-house compliance program. This allows businesses to focus on their core functions while relying on the expertise of specialized firms that are designed to navigate the complexities of payment processing compliance effectively. In contrast, while factors such as profit margins, setup speed, or the need for training may be influenced by outsourcing, they do not address the central concern of compliance and associated risks as directly as the reduction of compliance complexity does.