Page 100 - Pay Magazine s2014

finance & strategy
Securing the Consumer in the Digital Age
provider’s system. For the fraud victims that take action, payment providers are faced with the possi- bility of a loss of business from those who opt to cut ties because of loss of trust.
Some of the most widely experi- enced fraud types—such as online payment compromise—are most likely to result in positive out- comes, with 88 percent of con- sumers taking favorable steps, such as keeping their accounts
open or closing their accounts
and opening a new one with the same provider. The flipside is true for some of the least common types of fraud; with 27 percent
of consumers who were deceived by a fraudster posing as a person of authority (such as a government agent or bank representative) reportedly taking negative steps, such as account closure or switch- ing providers. Nevertheless, our research reveals that as consumers become more familiar with certain
types of fraud and payment situa- tions, they’re more accepting of the negative circumstances that ensue and fail to reduce their vulnerability to repeat attacks.
When observed at the country level, more than 90 percent of fraud victims in Canada, Australia and the U.S. reacted favorably to payment fraud. The opposite is true for victims in South Africa, Taiwan, Mexico and Turkey, with more than 20 percent of victims in each of
98