FIS Survey: Hong Kong Banks Exceed Expectations in Fraud Management

FIS Survey Findings on Fraud Management in Hong Kong

A recent survey by financial technology company FIS reveals that Hong Kong banks are making significant strides in managing online fraud losses. The findings indicate that 53% of respondents believe their banks took full responsibility and reimbursed all funds lost due to fraud events. This surpasses previous expectations, highlighting the improved trust in banking institutions.

Customer Expectations and Fraud Responsibility

The survey, conducted in July and August, included 1,076 adult consumers from Hong Kong and explored their experiences with financial crime. Interestingly, while 53% expected full accountability from their banks, only 44% anticipated such outcomes. As Kanv Pandit from FIS noted, there is a much clearer understanding of the factors driving fraud within the banking industry.

Growing Online Fraud and Security Measures

Fraud has surged, with financial losses increasing by 66.5% to HK$4.48 billion (US$575 million) this year. The increase is also reflected in online fraud, which jumped 29% to HK$2.56 billion. Among respondents, one in four reported experiencing online banking fraud, mainly affecting millennials.

Innovation in Banking Security

• The demand for enhanced security features like a 'money lock' has emerged.
• 65% of consumers rated this feature as highly important.

In response, banks such as Citigroup have implemented emergency e-banking services, showcasing the evolution of security measures in the industry.