For some time now, a battle as raged between fraudsters and businesses. Many business owners are now saying that fraudsters have pulled ahead. A recent study from Vocalink suggests that this sentiment is indeed true.
Vocalink, a Mastercard company, recently released its third annual Business Fraud Report. In its findings, it was discovered that as much as 73 percent of the UK businesses it surveyed feel that fraudsters are now “ahead of the industry”. Obviously, a very unsettling thought for business owners and entrepreneurs in the UK.
In addition, 22 percent of respondents shared that someone had attempted to commit payments fraud against their business. Another overwhelming 37 percent said that they had either fallen victim to payments fraud or knew a firm that had. As per UK Finance, £1.2 billion (nearly $1.572 million USD) was lost through fraud just last year.
The Impact of Fraud Efforts on Businesses
Sadly, fraud can have a crippling effect on businesses. Vocalink data shows that one in ten companies that were a victim of payments fraud thought about closing their doors. Without a doubt, the impact of fraud efforts is far-reaching. However, data has also shown that businesses are not doing all they can to protect against it.
Just 32 percent of U.K. companies have made it a point to put tighter standards in place to deal with fraud. As much as 17 percent admitted they have done nothing at all to put processes of any kind in place.
Other research has painted and even more revealing picture of just how big the problem really is.The International Monetary Fund (IMF), for example, estimated that stanching corruption would mean that $1 trillion in annual tax revenues could be gathered across the globe.
“Less corruption means lower revenue leakage and less waste in expenditures, and higher quality of public education and infrastructure,” the report found.
How to Prepare: Better Systems
So, how can UK businesses catch up to fraudsters and protect their future? Based on these recent studies, the key seems to be putting better systems in place. Systems capable of detecting and combating fraudsters. One of the easiest ways to accomplish this is to work closely with a merchant provider that can help your business improve its website and checkout process, secure payment terminals and put chargeback protection programs in place.
If your business is one of the many searching for ways to strengthen security, consider working with a merchant provider that helps businesses fight fraud. Checkout the information and countless reviews Best Payment Providers has to offer, like reviews on Worldpay customer services. Find everything you need to protect your customers and your business from payments fraud.
Author Bio:Payment industry expert Taylor Cole is a passionate merchant account expert who understands the complicated world of accepting credit and debit cards at your business. His understanding of the industry and Worldpay customer services has helped thousands of business owners save money and time.