According to a recent YouGov survey, commissioned for eWise payo, the first and only UK bank inclusive Online Banking ePayments (OBeP) solution, one fifth (21 percent) of GB adults who have made a purchase online have been a victim of online fraud.
The research also showed that nearly all - 88 percent - of online shoppers have either been the victim of online fraud or are worried that this is something that will happen to them in the future.
95 percent of online adults indicated that they have made purchases online, with well over two-thirds (70 percent) of those stating they pay for goods at least once per month.
More than two thirds (69 percent) agreed with the statement: 'I am concerned about security when paying for goods/services online'. And over half (54 percent) confirmed that they have abandoned an online purchase in the last year, due to fears relating to the security of their details.
Interestingly, when online shoppers were asked if they agreed that they are concerned about security around making online purchases, the proportion which stated they are increased with age. Respondents were asked to pick the two payment methods they feel are most secure when making online purchases. Only 20 percent made debit cards one of their top two choices. Commenting on this finding, John France, managing director at eWise payo, said: "This is a worrying sign, it seems banks and consumers have drifted apart.
"The figures we have highlighted are alarming. In spite of the time and money invested in protecting consumer's online security, retailers' websites are still being hacked and fraudsters continue to win the battle."
Almost two thirds (64 percent) of online shoppers have abandoned a purchase due to issues relating to speed and difficulty in making a payment. France added: "It seems every stakeholder in the transaction suffers: the consumer abandons the purchase through frustration, 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."
72 percent of online shoppers who have onlinee banking access advised that they would feel more secure if their bank provided a payment option that allowed them to pay for goods online directly from their online banking account, without sharing account information with the merchant.
In January 2011, eWise launched eWise payo, the first and only bank inclusive UK Online Banking ePayments (OBeP) solution - the safest and fastest online payment technology. The solution enables the consumer to initiate secure and private payments for goods and services or bills online, without having to provide personal financial information to any third parties. To use eWise payo, customers are directed straight to their bank's website where they will log in using their existing account credentials. Once in their online banking application, consumers select from any account with available funds and confirm the payment. eWise technology enables the secure payment, leveraging the UK's Faster Payments network, thereby generating a near immediate payment for the merchant.
France added: "eWise payo is the answer to the industry's demand for improved security; the bank demand for innovation; the consumer demand for control and the merchant demand for lower costs."
1 YouGov/eWise payo survey, 17-18 March, 2011. 2130 respondents
2 The online retailer or eWise