The consumer banking experience has changed dramatically in recent years.
Today, banks and credit unions adhere to the rise of the tech-savvy and budget-conscious consumer. From mobile apps and online banking initiatives to tailored programs — the trend of rapid adoption is impressive, but it’s not without its shortcomings. Continue reading
As public concern about identity theft and fraud continues to escalate, it has become more critical than ever for financial institutions to step up customer protection efforts — or risk taking a hit to their bottom lines.
In a global study across 17 countries that included more than 5,200 consumers, some 25 percent of respondents said they’d been victims of credit, debit, or pre-paid card fraud within the past five years. Most tellingly, more than 20 percent reported that they will stop using, or switch from, the card impacted by fraudulent activity. The study — conducted by ACI Worldwide and Aite Group — further found that after experiencing fraud, more than half of cardholders switched to using cash or an alternate form of payment instead of their credit or debit card.
“What have you done for me lately?” is certainly one of the last things you want your customers wondering about your institution. Without a doubt, you want your bank customers to feel secure and valued through benefits and program offerings that grow loyalty.In every way, what you do should tell your customers that you’re looking out for them.
So when you think about fraud, in addition to considering it in terms of financial loss to the bank, to the merchant and to the retailer—remember to consider the impact to the consumer.