One-Fifth of U.K. Online Shoppers Affected by Fraud

April 7, 2011

Twenty-one percent of adults in the U.K. who have made a purchase online have been a victim of online fraud, according to a study commissioned by online payment solution provider eWise payo. The research also showed that 88 percent of online shoppers have either been the victim of online fraud or are worried that it will happen to them in the future. More than two thirds (69 percent) agreed with the statement: ‘I am concerned about security when paying for goods/services online.’ And, 54 percent confirmed that they have abandoned an online purchase in the last year, due to fears relating to the security of their details. According to John France, managing director at eWise payo, when consumers abandon an online purchase “every stakeholder in the transaction suffers: the consumer is frustrated, the merchant doesn’t process the sale, and the payment isn’t processed by the bank. Credit and debit cards were designed for the face-to-face environment and the additional security measures only slow the payment process.” eWise, which launched eWise payo in the U.K. in 2011, enables retailers to steer consumers to their own online banking Website to pay for online purchases. France said eWise payo leverages the U.K.’s Faster Payments network, generating a near immediate payment for the merchant.