SmartMetric, Inc. reported that in 2018, $24.26 Billion was lost due to payment card fraud worldwide. The United States leads the world in credit card fraud with 38.6% of reported card fraud losses in 2018.
Credit card fraud increased by 18.4% in 2018 and is still increasing.
Apart from the financial cost to card issuers and the time and expense of card fraud to the consumer from credit card fraud there is another serious cost that has had little reporting on. That is the “Emotional Cost” on the consumer victim of credit card fraud.
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In research released by the Identity Theft Research Center titled the 2018 Aftermath Study, it is shown that profound emotional impacts to the consumer following credit card fraud incidents.
The research showed 85% victims of identity crime felt worried, angry and frustrated, while 83% felt violated. Another alarming impact on the fraud victim is that 69% said they could not trust others and felt unsafe.
Other emotional impacts on fraud victims are, feeling powerless or helpless, 67%. Feeling sad or depressed, 59%, while 55% felt betrayed.
The emotional impact on the victims of fraud support research that shows that one in four credit card users who have fallen victim to card fraud end up abandoning use of the bank’s credit card that was used fraudulently even after the card has been reissued.
Other research dealing with the behavioral impact following a card fraud incident and subsequent card replacement by the bank shows that the replaced card is more likely than not to be placed at the back of the wallet and the least used for future purchases by the credit card fraud victim.
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The emotional impact on consumer victims of card fraud underpin the research results found in research commissioned by SmartMetric which shows that the vast majority of the credit card holders surveyed are highly concerned about credit card fraud. So much so that in the same survey over 60% said they would be willing to pay for a biometric credit card that uses fingerprint biometrics to secure their credit card.
SmartMetric has also made advances in its contactless NFC technology that is activated for contactless transactions following the users instant fingerprint scan and match when they touch the card’s biometric sensor on the card’s surface.
The card’s internal biometric scanner is powered by a rechargeable, very thin battery. This SmartMetric battery is recharged every time the card holder uses the card at either a regular contact card reader or ATM as well as contactless readers used to read contactless credit and debit cards.
“SmartMetric turns the card users’ biometrics into the key that unlocks the card. Bringing the power of biometric security technology to the ubiquitous credit and debit card,” said today, SmartMetric’s President and CEO, Chaya Hendrick.
SmartMetric is a USA-based company with sales and marketing partnerships in Latin America, Europe, the United States. Engineering of the biometric card electronics is done in-house and is the owned intellectual property of the company.
