I suspect that there are a few things going on in the background - on the 'qt'.
I am confident that fraud will be significantly reduced soon. I would suggest that within 2 years everyone will be on-board or over-board, so if you are in the business, don't wait for someone to come knocking on your door to save you.
As pricing on cross border payments, P2P and retail transactions declines significantly in the next two years there will be market rationalisations. I don't expect to see nearly as many banks as there are now and certainly none with less than the best possible
fraud controls for both insider and external fraud. When the majority are fixed the only targets left for the baddies will be very popular targets. Anyone left doing things the old way will be out of the business before long.
In terms of cost to business, insider fraud is the real weak point as it's effects are the most acutely noticeable. The businesses which do not get that under control will face increased legislation and penalties from the market, both in ratings and relationships.
Consumers will react with their wallets as switching accounts and institutions will be increasingly easier.
The EU will fail unless the financial and economic borders come down very fast so don't expect those governments to sit around waiting too long. Cross border payment and interchange fees are going to come right down, and the participants shouldn't be under
any illusions that they won't.
I'm certainly not sitting on my hands, and I am not alone. The time for window dressing, spin-doctoring and half-baked 'solutions' is over. It action time - everywhere, or at least in over 150 countries that I know of - and that probably includes yours.
© Finextra Research 2017