American Express (AmEx) has recently released its 2019 Digital Payment Survey. The results of the survey are based on the answers from 400 business leaders. As the respondents note, 27% of their companies’ annual online sales are fraudulent. Let’s dive deeper into the topic and see who can help you with chargeback insurance.
Online Fraud Is On The Rise: Chargeback Insurance
According to the mentioned report, online fraud has grown to a great extent. Particularly, 27% of internet sales are fraudulent transactions, which is an 18% increase from 2018. Let’s look at some other stats:
- 79% of consumers anticipate the check-out process in-store to get facilitated like the process of check-out over the internet.
- The businesses of 82% of merchants are vulnerable to mobile transaction fraud. This figure was 73% in 2018.
- The businesses of 79% of merchants are vulnerable to online transaction fraud. This number was 75% in 2018.
- The businesses of 66% of merchants are vulnerable to point-of-sale (POS) transactions, which is an increase from 55% in 2018.
- 42% of consumers have experienced a fraudulent attempt with their credit cards
- 59% of consumers are concerned about fraud when buying things over the internet.
- As for in-store purchases, 62% of consumers have left a store with no purchases after having waited too long in line at the register.
What about you? Are you using the right merchant services to protect your business from fraud? This can’t be an issue if you work with a true payment expert in your field that can best help you with chargeback insurance. With a reputable payment processor, you can enjoy the most advanced and safest fraud prevention and chargeback mitigation solutions available these days.
Fraudulent Online Transactions
Based on a recent report from analyst firm Javelin Strategy & Research, cybercriminals’ techniques are becoming more and more sophisticated. As a result, it’s easier for them to get access to identity, financial data, and user accounts, without being detected.
In fact, identity fraud goes on growing: it’s increased by 8% over the last year. Specifically, online fraudsters commit the following main types of fraud: 1st party, 2nd party, or 3rd party.
To sum up, online transactions continue to grow, which results in increased fraud. The recent study by American Express has revealed that online payment fraud has grown.
Author Bio: Blair Thomas has been a music producer, bouncer, screenwriter and for over a decade has been the proud Co-Founder of eMerchantBroker, the highest rated high risk merchant account processor in the country that can best help you with chargeback insurance. He has climbed in the Himalayas, survived a hurricane, and lived on a gold mine in the Yukon. He currently calls Thailand his home with a lifetime collection of his favorite books.