It’s a real war plan. The Banque de France presented, this Tuesday, May 16, 2023, 13 proposals to fight against the phenomenon of bank card fraud. Banks are blamed for their difficulties in repayment following fraud. According to Julien Lassalle, secretary of the Observatory for the Security of Means of Payment (OSMP), the banks’ repeated refusals of compensation do not “correspond to the spirit of the regulations”.
The Prudential Control and Resolution Authority (ACPR) embodies the police in the reimbursement sector. In this fight, the organization ensures compliance with these new security constraints, which have been applied by all banks since April. In order to agree on the desired result, various consumer associations, payment institutions and market regulators had to meet five times between 2022 and 2023.
To better combat online fraud, banks (and other payment service providers) are using a new enhanced security feature to authenticate their customers. This new step occurs in several cases: remote payments, access to the customer account as well as for sensitive operations such as adding transfer beneficiaries, ordering a check book or even when changing of address.
The implementation of this measure in the spring of 2021 has already made it possible to considerably reduce credit card fraud. This new regulation forces banks and payment establishments to validate a transaction. To do this, they must verify not one but two distinct factors. A success. The fraud rate, which stagnated between 2018 and 2020, fell from 0.25% to 0.20% in 2020, according to Capital. The Observatory in charge of payment security (OSMP) even welcomes the “lowest historical level, while over the same year, the amount of card payment transactions increased by 21% to reach 177.1 billion euros. ‘euro’.
Discover now below, the 5 major challenges of this fight against credit card fraud, especially for the main players: the banks.