Nine in ten consumers (91%) polled in a new payment fraud survey of 1,000 Canadian adults conducted by Capco fear their online data could be used to make impersonation easier or reveal answers to security questions. Card or card data theft (45%), identity theft (45%), and account takeover (41%) are the fraud types that most worry respondents.
91% fear online data used for impersonation or security question answers.
45% worry about card/data theft; 45% worry about identity theft.
78% concerned about deepfake impact on voice biometrics and facial ID.
36% have been targeted by payment fraud in past two years.
52% not provided guidance on deepfake threats by their financial institution.
Canada preparing to introduce Real-Time Rail for instant payments.
More than a third (36%) of survey respondents have been the target of attempted payment fraud over the previous two years, with 37% noticing a purchase they did not make, 32% spotting a phishing exercise, and 20% suffering attempted card or card data theft. Over three-quarters (78%) of respondents are concerned about the impact of deepfake technology on voice biometrics and facial ID: 27% consider them "not entirely secure," 6% feel these authentication methods are already "insecure," while 45% worry they will come "under future threat." However, more than half of respondents (52%) say they had not been provided with or could not recall being offered any information or guidance by their financial institution about the deepfake threat.
When it comes to balancing security and convenience, the largest percentage of respondents (40%) say security is their absolute priority, while 31% say they put security first but also want decent levels of convenience. Security (60%) and advanced fraud protection (46%) are the most frequently cited important factors when choosing a financial institution. The survey's findings arrive as Canada prepares to introduce its Real-Time Rail, bringing instant account-to-account payments, and as fraudsters increasingly exploit advanced technologies including AI to enhance the scale and sophistication of payment fraud.
"Payment fraud has become increasingly globalized, industrialized and technology-enabled, making it one of the most significant challenges facing Canadian consumers and the country's payments ecosystem," said Gaelan Woolham, Partner & Canada Head of Financial Crime, Risk, Regulation & Finance at Capco. "To stay ahead of evolving fraud tactics, organizations must be clear on emerging threats, customer concerns, experiences and expectations – and be ready to leverage advanced technologies, enterprise data and AI capabilities to prevent and respond to fraud in real time."
About Capco
Capco, a Wipro company, is a global technology and management consultancy shaping change in the financial services and energy industries. For almost 30 years, we have been trusted to help our clients adapt, transform and create long-term value across capital markets, banking, payments, insurance, wealth and asset management, and the energy and utilities sectors. Our deep industry expertise, partnership mindset and award-winning Be Yourself At Work culture are amplified by our strengths in advisory, technology, data and AI innovation.
