There have been a number of studies published recently about consumer attitudes to online banking or shopping, and there is a persistent theme of consumers still being worried about security and fraud.
There is a lot that banks can do to protect consumers from fraud, and the fraud detection and preventions tools on the market today are proven and accurate, but there will always be some fraud that slips through the net.
What is essential is the customer experience after they have been a victim - how the banks react to the fraud and the inconvenience to the individual concerned. If the bank gets this bit right, by identifying the fraud quickly, informing the customer, reissuing
cards and ensuring the customer is not out of pocket, customers actually report very good experiences. It tends to be very positive for the banks and really can promote loyalty. If, on the other hand, it is not handled well then it is probably one of the greatest
motivators for attrition.
Most consumers know that fraud might happen to them or someone they know, and they don’t automatically blame the bank when it does. But they certainly do blame the banks if that fraud turns out to cost them significant amounts of time or money.