Globally, 1 in 4 Consumers Victimized by Card Fraud

Mumbai, Maharashtra, India- Business Wire India 
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 23 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
“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 their bank'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 Subhashish Bose, senior fraud consultant,
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
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 Singapore 
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 subsidiaries, in
the United States, other countries or both. Other parties' trademarks referenced
are the property of their respective owners.  
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1.     Verizon, 2014 Data Breach Investigations Report, 
Media Contact Details 
Neha Merchant, Bite Global for ACI Worldwide, +91-9820454541, 
Ayanica Sree, Bite Global for ACI Worldwide, +91-9873058742, 
Contributed via: Bloomberg Publisher WEB Service 
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-0- Jun/25/2014 13:14 GMT
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