As cybersecurity and compliance budgets come under increasing scrutiny, many SaaS companies believe that obtaining a SOC 2 report proves they are effectively compliant with PCI DSS as well.
This belief often arises when a SaaS application accepts online payments, but payment card data is sent directly from the customer’s browser to a PCI-compliant payment gateway. Since the SaaS platform never stores, processes, or transmits cardholder data, management assumes that PCI DSS no longer applies.
While this architecture can significantly reduce PCI DSS obligations, it does not automatically mean PCI DSS can be ignored or replaced by SOC 2.
Understanding the difference between these two frameworks is essential for avoiding compliance gaps and protecting your business.
SOC 2
SOC 2 is an independent assurance report that evaluates whether an organization’s security controls effectively protect customer information. It focuses on governance, security, availability, confidentiality, processing integrity, and privacy.
Organizations typically pursue SOC 2 because enterprise customers request evidence that appropriate security controls are in place.
A SOC 2 report demonstrates that security controls have been independently assessed.
It is not a payment security standard.
PCI DSS
PCI DSS (Payment Card Industry Data Security Standard) is specifically designed to protect payment card information.
It establishes mandatory security requirements for organizations that store, process, transmit, or otherwise impact the security of payment card data.
Its objective is simple:
Protect cardholder data throughout the payment ecosystem.
In the modern SaaS payment model:
• The SaaS application never stores cardholder data.
• Card numbers never pass through the company’s servers.
• Sensitive authentication data never resides within the SaaS environment.
This architecture is considered a security best practice because it substantially reduces the Cardholder Data Environment (CDE).
However, reducing PCI DSS scope is not the same as eliminating PCI DSS responsibilities.
Even when a payment gateway processes all card data, the SaaS provider may still be responsible for protecting systems that could affect the security of the payment process.
Depending on the payment integration, organizations may still need to:
• Secure the website or application that presents the payment page.
• Protect against malicious JavaScript or page manipulation.
• Control administrative access.
• Maintain secure software development practices.
• Implement vulnerability management.
• Manage configuration changes.
• Ensure the selected payment gateway is PCI DSS compliant.
Therefore, using a hosted payment gateway generally reduces PCI DSS scope – it does not automatically remove PCI DSS responsibilities.
In simple words,
SOC 2 evaluates whether your security controls are suitably designed and operating effectively. It provides assurance to prospective customers that your organization maintains effective security controls.
PCI DSS evaluates whether your organization has implemented the specific controls required to protect payment card data. PCI DSS demonstrates to payment brands, acquiring banks, payment processors, and business partners that your payment environment complies with industry security requirements. They do not accept a SOC 2 report as a substitute for PCI DSS validation.
SOC2 and PCI-DSS address different risks, satisfy different stakeholders, and achieve different business objectives. A clean SOC 2 opinion does not demonstrate compliance with PCI DSS. One cannot replace the other because they answer different questions.
Manish Chaudhari
CISO
PCI-DSS QSA, CISA, CISM, ISO 27001 LA, ISO 27001 LI, ITIL, MCSA,CCNA, RHCE, CNE,