FICO Survey

1 in 3 Malaysians Worried About Being Scammed As Real-Time Payment Risks Grow

(NYSE: FICO)

Highlights

• Payment Fraud is top financial crime concern for 32% of Malaysians
• Identity theft worries persist, with 37% believing they have or might have been victims
• Real-time payment scams are on the rise, with 76% receiving scam communications
• Fraud protection is paramount, with ease of use and good fraud protection ranking as top considerations for selecting financial services providers

FICO, a leading global analytics software firm, today unveiled its latest global consumer fraud research, shedding light on Malaysians' ongoing apprehension regarding real-time payment scams amid the growing adoption of new, convenient, and fast payment channels. According to the study, the primary worry for Malaysians remains the risk of being tricked into sending money to criminals (32%), which exposes individuals to instant, irrevocable losses rarely eligible for reimbursement.

Additionally, concerns about identity theft persist, with over 25% of Malaysians citing it as their top financial crime concern. This type of fraud carries additional risks beyond financial loss, such as compromised credit scores and the challenging process of restoring financial integrity.

More information: https://www.fico.com/en/latest-thinking/ebook/consumer-survey-2023-dig ...

“Malaysia’s adoption of real-time payments continues to accelerate, with 92% of adults having sent a real-time payment and 55% expecting to increase their use over the next year,” said C K Leo, FICO's lead for fraud, security and financial crime in Asia Pacific. “As the adoption of real-time payments surges, driven by platforms like Boost, Touch & Go (TnG), and GrabPay, we're witnessing a transformative shift in financial behaviour. Yet, amidst this rapid digitisation comes an urgent need for heightened vigilance against fraudsters lurking in the digital realm.”

Real-Time Payment Scams: A Growing Concern

As the incidence of scams continues to rise, FICO’s research from last year uncovered a troubling trend related to authorised push payment (APP) fraud and real-time payments in Malaysia. A concerning 76% of Malaysians have received unsolicited text messages, emails, phone calls, or other outreach that they believed to be part of a scam, while 54% of respondents stated that their friends or family members had been victims of a scam.