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Card-not-present fraud still an enemy for ecommerce sector

Thursday 7 April 2016 10:33 CET | News

A Tender Armor report has revealed that card-not-present (CNP) fraud advances in the ecommerce sector affecting consumer behaviour.

The report is called ‘CNP fraud consumer impact: anxiety that reduces credit and debit card usage’and it has been made in partnership with Sparks Research. The study examines the lingering aftermath of CNP fraud regarding shifting consumer shopping behaviors, consumer security concerns, payment card usage, and financial institution (FIs) fraud prevention recommendations.

CNP credit and debit card fraud creates cardholder anxiety and negatively affects consumers’ online shopping behaviors, much to the detriment of FIs and e-commerce merchants. The study found that 56% of cardholders decrease online shopping, reduce payment card usage and close payment card accounts after dealing with a fraudulent event. The study also revealed that 78% of online shoppers want more protection for their payment card data when shopping online.


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Keywords: ecommerce, CNP fraud, online payments, security
Categories: Fraud & Financial Crime
Companies:
Countries: World
This article is part of category

Fraud & Financial Crime