Security fears and online frauds discourage use of e-wallets

  • Nation
  • Thursday, 11 Jul 2019

PETALING JAYA: The adoption of e-wallets in the country will never accelerate if security fears about online fraud and scams are not allayed, says TNG Digital Sdn Bhd.

Its chief executive officer Syah­runizam Samsudin said many had read about Malaysians falling prey to e-wallet scams and experiencing losses in excess of RM2,000.

“Today, we are still bombarded with fake websites and online scams, yet most e-wallet companies only focus on attracting users with promotions, cashback and freebies.

“What is lacking is the push for consumer awareness and education to decrease the prevalence of frauds and scams in the market.

“The more aware a user is, the lower the chances are for him or her to be defrauded,” he said in a statement.

He was responding to The Star’s front page report on Tuesday, which stated that online fraud made up nearly 70% of complaints reported to the Malaysia Computer Emer­gency Response Team so far this year.He said e-wallet companies must be committed to future-proofing Malaysia’s e-payment ecosystem, adding that part of that responsibility was to close the gap in consumer education.

“The Touch ‘n Go e-Wallet is spearheading an educational video series, Cashless Confidential, featuring local heavyweights Dr Jason Leong and Kuah Jen Han discussing common topics on online safety and security such as info phishing and identifying scam sites in bite-sized, easy-to-understand episodes to be shared on television, radio and social media platforms,” he said.

Consumers, he added, expected convenience and security to go hand-in-hand with mobile payments and that was exactly what the company was enabling with the money-back guarantee policy, the first-ever safety and security policy for mobile payments in Malaysia.

“Acknowledging the importance of a reliable platform which all Malaysians can trust in all circumstances, the policy better serves our users by giving them the confidence to fully adopt a digital lifestyle.“Users are assured that they can continue to pay confidently and transact with our app, knowing that their money is safe and secure in their Touch ‘n Go e-wallets,” he said.

While cash remains king for now, the company wants to work towards a lifestyle where payments with e-wallets will be safer than cash payments, Syahrunizam added.

“In a recent study by Nielsen Mal­aysia on Malaysia’s shifting payment landscape, only 8% of Malay­sians had adopted the use of e-wallets.“One of the major reasons highlighted as a barrier to cashless adoption is that 46% of Malaysians are concerned about security measures and fraud risks related to digital payments,” he said.

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