Globally, 1 in 4 Consumers Victimized by Card Fraud

  Globally, 1 in 4 Consumers Victimized by Card Fraud

  U.A.E. tops list of countries with highest rate of fraud overall, followed
closely by China, India and the U.S., in latest ACI Worldwide Global Consumer
                                 Fraud Survey

Business Wire

NAPLES, Fla. -- June 24, 2014

A global fraud study of more than 6,100 consumers across 20 countries revealed
that one in four consumers is a victim of card fraud in the last five years.
The study, conducted by ACI Worldwide (NASDAQ: ACIW) and Aite Group, also
highlighted that nearly 25 percent of consumers changed financial institutions
due to dissatisfaction after experiencing fraud.

Card fraud is comprised of unauthorized activity on three types of payment
cards—debit, credit and prepaid. Cardholders experience fraud at very
different rates around the globe, and each type of card has unique fraud
challenges. The U.A.E. has the highest rate of fraud overall at 44 percent,
followed by China at 42 percent and India and the United States at 41 percent

  *63 percent of global consumers (respondents) who have experienced fraud
    are more likely to use their cards less
  *50 percent exhibit at least one risky behavior, which puts them at higher
    risk of financial fraud
  *55 percent are “very concerned” about reclaiming financial identity if
    they fall victim to identity theft
  *More than 1 in 10 have experienced fraud multiple times during the past
    five years

“Given this latest data, financial institutions have their work cut out for
them, both in terms of educational and preventative measures,” said Shirley
Inscoe, senior analyst, Aite Group. “Consumers lack confidence in theirbank’s
ability to protect them from fraud,so banks must remain vigilant in their
fraud migration efforts or face increased customer attrition.”

Confidence wavering in the face of fraud
With 1,367 confirmed data breaches^1 in 2013 alone, the security of the
financial services value chain is top-of-mind. As organized fraud rings
relentlessly develop new methods of stealing funds and identities, consumers
are increasingly losing confidence that there is anything that can be done to
reverse this downward spiral.

  *23 percent changed financial institutions due to dissatisfaction after
    experiencing fraud
  *Nearly 2 in 10 lack confidence that their financial institution can
    protect them against fraud
  *43 percent who received replacement cards as a result of data breach or
    fraudulent activity use their new card less than they used their original

“Consumers are increasingly concerned about fraud, and are losing confidence
on a variety of levels,” said Mike Braatz, senior vice president, Payments
Risk Management Solutions, ACI Worldwide. “They are unsure that their
financial institutions can protect them against fraud; they use replacement
cards less often due to a loss of confidence in the card or card issuer, after
experiencing fraud; and post-fraud, they often change providers or their cards
go to back of wallet. This has immediate and long-term implications on
customer loyalty, revenue and fee income.”

A detailed analysis of the 2014 Global Consumer Fraud Report will be presented
via webinar on June 26 at 10:00am ET. To register for the webinar and receive
a complimentary copy of the two-part report, please click here or visit

Survey Methodology
ACI Worldwide conducted online quantitative market research via a March 2014
survey of 6,159 consumers; approximately 300 consumers, divided equally
between men and women, participated in each of the 20 countries. Of the total,
6,041 own one or more type of payment card (i.e., credit card, debit card,
prepaid card). The study was conducted in a total of 20 countries in the
following regions:

  *The Americas (North and South America): Brazil, Canada, Mexico, and the
    United States
  *EMEA (Europe, the Middle East, and Africa): France, Germany, Italy, the
    Netherlands, Poland, Russia, South Africa, Sweden, the United Arab
    Emirates, and the United Kingdom
  *Asia-Pacific: Australia, China, India, Indonesia, New Zealand, and

About ACI Worldwide
ACI Worldwide, the Universal Payments company, powers electronic payments and
banking for more than 5,000 financial institutions, retailers, billers and
processors around the world. ACI software processes $13 trillion each day in
payments and securities transactions for more than 250 of the leading global
retailers, and 21 of the world’s 25 largest banks.Through our comprehensive
suite of software products and hosted services, we deliver a broad range of
solutions for payment processing; card and merchant management; online
banking; mobile, branch and voice banking; fraud detection; trade finance; and
electronic bill presentment and payment. To learn more about ACI, please visit You can also find us on Twitter @ACI_Worldwide.

© Copyright ACI Worldwide, Inc. 2014.
ACI, ACI Payment Systems, the ACI logo and all ACI product names are
trademarks or registered trademarks of ACI Worldwide, Inc., or one of its
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Product roadmaps are for informational purposes only and may not be
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1. Verizon, 2014 Data Breach Investigations Report,

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Media Contact:
ACI Worldwide
Dan Ring, 781-370-3600
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