Subscribe
News
|
Interviews
|
Voice of the Industry
|
Watch & Learn
|
Reports
Cross Border Ecommerce Research
Company Database
|
Events
Facts & Figures
|
Payment Methods
|
Fraud Prevention
|
Service Providers
Facts & Figures
|
Payment Methods
|
Fraud Prevention
|
Service Providers
Select a country in
- choose a country -
Online Fraud Prevention in
Republic Of Korea
Ecommerce fraud and online fraud prevention in Republic Of Korea
Read below about payment fraud, online fraud and fraud prevention Republic Of Korea
Download report on Cross-border Ecommerce - republic-of-korea
Download report on republic-of-korea
A leading card market, South Korea is taking steps to increase payment security while ensuring that restrictions do not stifle ecommerce growth.
Payment Fraud Profile
Fraud prevention initiatives have received new impetus in South Korea following the theft of card data reported in December 2013. Estimates suggest that as many as 20 million people (40% of the population) were affected, although the extent of actual financial loss is uncertain and it would appear that passwords and CVV codes were not among the data stolen. The Financial Supervisory Service (FSS) announced new restrictions on the storage of card information following the incident and consumer trust in card-based transactions was shaken – significant in a country that is home to ‘the world’s most prolific card users’ (The Economist, November 2013).
To speed up the introduction of chip and PIN technology and replace magnetic stripe readers, in April 2014, the FSS announced that card companies will pay for EMV terminals in 650.000 small stores, enabling access to such terminals by 2015. Large stores are expected to use these chip readers by Q4 2014. The financial authorities have also recently asked card companies to provide text confirmation of transactions above a certain amount free of charge, where previously a fee was charged.
Ecommerce and Mobile Commerce Fraud Prevention
Reports indicate that South Korea has recently updated its approach to online fraud prevention, which, it was felt, was holding back ecommerce growth. Under the ‘old’ rules, a first time shopper buying goods or services online from a Korean website had to install ActiveX controls and receive an online authentication certificate. The country is now looking for a new balance between security and convenience and sophisticated online fraud prevention measures can play a crucial role in safely enabling ecommerce transactions. These measures will include cardholder authentication - all Visa members in South Korea must participate in Verified by Visa – but this needs to be combined with other fraud screening and prevention tools to ensure that genuine business is not declined.
With 45 million mobile subscribers, South Korea offers good potential for mobile commerce. South Koreans are increasingly using their mobile phones to access the internet and shop online and over 21 million of them were reportedly using shopping applications in January 2014. The mobile channel presents very specific fraud prevention challenges and requires specially tailored fraud rules to ensure that merchants see the full benefit of mobile commerce growth.
Download report on Cross-border Ecommerce - republic-of-korea
Download report on republic-of-korea
Top Stories
/
Most Read
STC Bahrain integrates Samsung Wallet for contactless payments
Published 3 May | Bahrain |
News
Avalanche integrates with Stripe
Published 3 May | World |
News
Adyen partners with Decathlon Hong Kong
Published 3 May | Hong Kong |
News
Iress partners with Nomo Bank
Published 3 May | United Kingdom |
News
dLocal partners with Open English
Published 3 May | World |
News
:::
more news
Brite Payments and Shopware team up for instant payments across Europe
Published 3 May | Europe |
News
Bank of Thailand to launch QR code cross-border payments to India
Published 3 May | India |
News
Adyen partners with Decathlon Hong Kong
Published 3 May | Hong Kong |
News
Oscilar and Fingerprint join forces
Published 3 May | World |
News
STC Bahrain integrates Samsung Wallet for contactless payments
Published 3 May | Bahrain |
News
:::
more news
Interviews
30 Apr
How Interac is equipping Canadians with the 1-2 punch to fight fraud
25 Apr
Unlocking travel with digital identity: an interview with Annet Steenbergen
22 Apr
Simplifying global payments: Insights from Optty
16 Apr
Presenting crypto payments trends – a CoinsPaid perspective
15 Apr
Key ecommerce and payments trends in 2024
:::
more interviews
Voice of the Industry
2 May
Healthcare financing in the future of work: digital nomadism, freelancing, and globalisation
2 May
Introduction to the evolving world of payments – global overview of key industry themes in 2024
29 Apr
The Paypers global partnerships analysis Q1 2024: Banking and Fintech
26 Apr
The Paypers Global Fintech Investments Analysis: Q1 2024
26 Apr
From local sensation to global game-changer: The Pix payment phenomenon
:::
more voices
Free Headlines
:::
subscribe now
RSS
:::
follow ThePaypers via RSS
:::
connect
LinkedIn
:::
connect with ThePaypers on LinkedIn
:::
connect
Twitter
:::
follow ThePaypers on Twitter
:::
follow
Facebook
:::
like ThePaypers on Facebook
:::
like