Internet Changes Everything

Canadian Consumers Lack Confidence In Security

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Jul 25 2003 : Exactly half (50 per cent) of Canadian consumers using debit and credit cards are concerned that their financial information will be intercepted while in transit, according to a survey by Ipsos-Reid. Significantly, 52 per cent of respondents, had fears that credit card data could be intercepted at the POS, while 58 per cent were concerned about the storage of this data in a database. Fifty-four per cent had some concern about the presence of their debit card details in a database, but in general, the respondents had confidence in the security of the financial services industry.

In terms of identity theft and fraudulent use of payment cards, “Canadians are more likely to have issues with companies accepting cards rather than companies issuing the cards”, according to Ipsos-Reid. Sixty-five per cent of consumers with Internet access, are “very”, or “somewhat” confident in the ability of Canadian financial institutions to secure their information. By contrast, retailers and service providers offering credit or debit card payments “may not have the complete confidence of customers when it comes to financial transaction security”, Ipsos-Reid advises.

With 35 per cent of Canadian consumers having had personal information violated online, up from 21 per cent in June 2001, and 18 per cent in December 2000, an Ipsos-Reid SVP, Steve Mossop, believes perceptions of online security have dropped since the dot-com peak in 2000. Security concerns had deterred 49 per cent of prospective online consumers from eCommerce, while just 43 per cent of respondents were confident in retailers’ abilities to ensure the security of payments and personal data, and 33 per cent believed responsibility for security lay with retailers.

June 20, 2004 at 11:17 AM in Smart Cards | Permalink | TrackBack (4) | Top of page | Blog Home