UK Has Concerns Over Contactless Payment Card Security

Laura BednarBest Practices, FraudLeave a Comment

Contactless Payment Security UK

A 2019 study by IDEX Biometrics ASA found that 63% of consumers in the United Kingdom (UK) are afraid that their contactless payment card may be used fraudulently. The survey involved 1,000 UK current account or credit card holders who believe a criminal could scan their card while it’s in their pocket and steal their funds.

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Growth of Convenient Payment Methods

At the beginning of this year, Target, Taco Bell and Speedway all accepted Apple Pay as a form of payment. The evolution has only grown in the UK as an article from Mobile Transaction stated that at the end of 2017, there were almost 119 million contactless cards issued in the UK.

The payment form took shape as many residents used it for traveling purposes. The “Transport for London” ticket system automatically deducted the appropriate amount from a bank account at no extra cost when using contactless payment. Additionally, the London Mayor enabled contactless donation points for homelessness charities as people seldom carry cash anymore.

The UK is rated as the third most cashless country in the world and consumers worldwide spend 30% more when they use contactless payment.

Security Concerns Over Card Payment

People flocked to the contactless payment because of the convenience of not having to enter a PIN or other indicator. A simple touch and go made purchasing goods at retail stores or restaurants a seconds-long process.

Common payment apps like Apple Pay, Google Pay, Venmo, and PayPal also have some security protection by scrambling information when a transaction is being made. Stores are given an encrypted number unique to your purchase instead of your actual card number when you buy a product. However, some UK residents are still concerned about their privacy.

Many residents would feel better about contactless payment if they could enter a PIN or fingerprint to authenticate purchases. There is currently a 30-pound spending limit, anything higher than that requires extra authentication. Some banks have already introduced Strong Customer Authentication which requires two-factor authentication for all types of payments.

Secure Spending Solutions

Currently, using biometric authenticated payment cards seems to be a supported initiative to increase security. Without a fingerprint or other form of authentication, simply scanning the card would not allow a thief to access any personal information or financial data. While this may put UK resident’s concerns to bed, it would nullify the convenience aspect of contactless cards.

The main concern is that a thief or criminal will scan someone’s contactless debit card or contactless credit card, thus accessing their account. The problem comes down to whether people prefer security or convenience when it comes to shopping.

Payment apps and contactless payment are still considered to be the most secure form of payment, but there is a solution that could protect cards from improper scanning while maintaining the convenience of a touch and go system for making purchases. The SecureCard is an RFID blocker card that emits white noise to mask a chip card when someone attempts to scan it.

The card requires no battery and simply goes in a wallet or case in front of your payment card. Another layer of protection is our team at Secure Forensics. The experienced examiners can detect and put an end to digital fraud and create court-admissible evidence of the crime. To learn more about our security products and services, call 1-800-288-1407.