Adam Lisowski
Senior Consultant, Risk Advisory Services
As cyber threats grow in scale and sophistication, protecting cardholder data has become more critical than ever. The Payment Card Industry Data Security Standard (PCI-DSS) is no longer just a best practice—it’s a fundamental component of any organization's risk management strategy. While compliance can feel burdensome, the consequences of non-compliance are far more costly.
Below, we explore five key risks that illustrate why PCI-DSS compliance should be a top priority for any business handling payment card data.
1. Financial Penalties from Credit Card Brands and Processors
PCI-DSS Non-compliance can result in steep fines ranging from $5,000 to $100,000 per month, depending on the severity and duration of the violation. On top of that, payment processors may levy additional penalties, often $20 to $50 per month, adding up quickly for organizations that fall out of compliance.
2. Significant Data Breach Costs
If a data breach occurs and your organization is found not PCI-DSS compliant, fines can escalate rapidly. Payment processors may charge $20 to $50 per cardholder whose data was exposed, and PCI-related penalties can reach up to $500,000 per incident. Beyond the fines, breach-related costs such as remediation, forensics, and customer notifications can severely impact your bottom line.
3. Legal Exposure and Litigation Costs
Failure to comply with PCI-DSS may expose your organization to legal action, especially if customers or business partners are affected. Defending against lawsuits, even if settled or dismissed, can require significant legal resources and distract from core business operations.
4. Reputational Harm and Loss of Trust
Reputational damage from a publicized breach or compliance failure can be long-lasting. Customers today expect their data to be handled securely and any hint of negligence can erode trust, delay partnerships, and ultimately impact revenue. Prospective clients may also choose compliant competitors over your organization when security concerns arise.
5. Business Disruption and Revenue Loss
Beyond the immediate costs, non-compliance can disrupt your ability to process transactions altogether. Payment processors may suspend or revoke your ability to accept card payments—an operational roadblock with direct revenue implications. Additionally, clients who rely on your PCI compliance may seek alternative vendors to avoid exposure.
Final Thoughts on Prioritizing PCI-DSS Compliance and Choosing a PCI-DSS Consultant
Achieving and maintaining PCI-DSS compliance is about more than checking a box, it’s about protecting your customers, your brand, and your bottom line. With proactive planning and the right guidance, PCI-DSS compliance becomes not just achievable, but a competitive advantage.
If you're unsure where your organization stands or needs help navigating the compliance process contact our PCI-DSS consultant via email – adam.lisowski@freedmaxick.com or phone at 716.362.6203. Let’s work together to protect your business and ensure full PCI-DSS compliance.