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Security: Consumer confidence in online financial transactions drops

Security: Consumer confidence in online financial transactions drops
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The report of a new survey conducted by Kaspersky Lab and B2B International shows that there is a decrease in consumer confidence of the security around online financial transactions.

[blockquote right=”pull-right” cite=”Kaspersky Lab”]To encourage people to start using electronic payment services more actively, banks, online stores and e-pay systems need to reassure users that they are safe from cyber fraudsters. One way is for payment service providers to offer extra security layers that are designed specifically to protect banking transactions and payments made online or from mobile devices against financial fraud. The presence of these additional transaction-focused protections gives users immediate and visible reassurance that their money will be secure[/blockquote]
The report of the survey titled “Consumer Security Risks survey for 2014” shows that 49 percent of participants worldwide felt vulnerable while shopping online or making online transactions and 42 percent would utilize online payment systems more often if they felt they were protected from cyber fraud.

The survey reveals that 62 percent of users fear financial fraud on the Internet. It also reveals that 40 percent of those who make payments online feel that the official mobile applications offered by financial companies require more security protection. Another 37 percent of users report terminating a financial operation in the middle of the process because they were unsure about the security of the transaction.

Consumers consider the level of protection against cyber fraud when choosing an e-store or a financial service operator. Sixty percent of the participants said they would prefer companies that offer additional security measures to protect financial data. Moreover, 75 percent of those surveyed expect banks, online payment systems and online stores to protect their computers and mobile devices from financial fraud.

Ross Hogan, Global Head of the Fraud Prevention Division at Kaspersky Lab says “many users still feel safer paying cash or using their bank card at a physical point-of-sale, rather than purchasing online with their computer or mobile device, and this reluctance hampers the development of the online payment market. To encourage people to start using electronic payment services more actively, banks, online stores and e-pay systems need to reassure users that they are safe from cyber fraudsters.”

Hogan said that, “One way is for payment service providers to offer extra security layers that are designed specifically to protect banking transactions and payments made online or from mobile devices against financial fraud. The presence of these additional transaction-focused protections gives users immediate and visible reassurance that their money will be secure.”

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Kayode Oladeinde Technology Journalist at Technology Times. Mobile: +234 (0) 7031526929

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