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Steady goes debit and credit However, credit tops debit for online attributed that low percentage to
purchases, TSYS said. Further of note the fact that the survey respondents
Consumer payment preferences in is that PayPal Inc.'s digital wallet were by default credit and debit card
2013 remain relatively unchanged service rivals debit online, with users, while GPR cards are primarily
from previous years, according to both payment methods favored by targeted to individuals without access
TSYS. Debit still trumps credit as roughly one-fifth of respondents. to credit or debit cards.
the preferred payment instrument But for small-dollar purchases, like
overall, with both methods being coffee and donuts, cash remains the
favored by every eight of 10 survey preferred payment vehicle. Report
respondents. Debit is still the clear
winner when it comes to supermarket Prepaid undermarketed?
shopping and gas purchasing, while In addressing the role of prepaid addresses
credit is preferred when dining out
and shopping in department stores. cards in the payment mix, TSYS CNP issues
But when it comes to fast food expressed surprise that prepaid cards
cravings, cash is still king. are apparently not being marketed
aggressively by financial institutions. raudsters who perpetrate
On the opposite end of the spectrum, The processor noted that major banks schemes in the card-not-
and also consistent with TSYS' 2012 jumped into the prepaid card industry present (CNP) sphere may
report, only 11 percent of respondents in 2012 to offer general-purpose F unfortunately find comfort
said being able to set up text message reloadable (GPR) prepaid cards as in the SecureBuy-Magento 2013 Fraud
alerts for account balances and checking account alternatives. Report. Based on an online survey
transactions was most valuable, and conducted from February to May
a mere 6 percent valued the ability But TSYS found that just over 10 2013, the report found that merchants
to register payment cards in mobile percent of survey respondents globally investigate CNP chargeback
wallets. indicated they had received GPR requests only 54 percent of the time.
card offers from their banks. TSYS
The result is that millions of dollars
in fraud that could be avoided is not,
the researchers concluded.

The report noted that chargebacks
are on the rise. "It's gotten so bad
that some merchants simply refund
the customer without challenge, in
order to avoid, at any cost, excessive
chargebacks that could put their
ability to process at risk," the report
Network said. Up to 30 percent of U.S.-
Processing
based merchants and 57 percent
The everywhereProcessingNetwork SM
of international merchants do not
POS eProcessing Network conduct any form of fraud pre-
Accounting Enabling Merchant Processing Through screening, according to the report.
123
Payment Gateway Innovation and Support
Customer Additionally, the researchers found
Data
Manager No matter what type of payment you want that over 40 percent of merchants
to accept or how you choose to transact,
Bill Pay surveyed rely on the manual review
eProcessing Network is the payment of at least some of their transactions,
Smart gateway for you. Our PCI-compliant solutions
Phones which is an expensive process fraught
& services enable you to process payments with human error and the specter
Recurring anywhere, anytime, helping your merchants
meet the daily demands required to manage of "false positives" − legitimate
Tablets their business efectively. ePN is here to transactions that are flagged as
partner with you and help you establish fraudulent, which results in lost sales
Websites strategies for the success of you and your and angry customers.
merchants.
Inventory
(800) 296-4810 Insults in CNP
In-Store
Computers eProcessingNetwork.com
SecureBuy, an online fraud
eProcessing Network Cloud-Enabling Payments Everywhere SM prevention firm and SignatureLink
Inc. subsidiary, cited 2013 LexisNexis
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