Honeywell Survey Shows Consumers Feel Insecure Using Debit or Credit Cards
October 21, 2014
Your personal information is at risk every day as a result of data breaches at major retail stores and financial institutions. It seems like every week there is another report of a breach at a major national chain. It’s become a serious concern each time consumers swipe their cards to make purchases despite the best efforts of retailers to protect their data.
Consumers want more protection and expect retailers to do more to safeguard against breaches. From Honeywell Scanning & Mobility, a survey reveals that consumers value credit and debit account security more than their personal health or retirement savings.
The survey, conducted by KRC Research, polled more than 2,000 Americans aged 18 and over who regularly use one or more credit cards.
Key results include:
- Top Concern: Consumers are more concerned about credit/debit card security (93 percent) than their health (84 percent), retirement savings (81 percent) or even losing their cell phone (63 percent).
- High Awareness: Nearly all (90 percent) respondents have heard about recent credit or debit card breaches at major retailers.
- Insecurity: More than one-fifth of respondents stated they do not feel secure when paying with debit cards at retail establishments.
- Impact of Broken Trust: 76 percent would forego credit and debit transactions and 38 percent would entirely avoid a particular retailer if they personally suffered from a data breach.
Honeywell commissioned this consumer trust survey to add context to the growing concern about personal data security issues at major retailers and the impact such concern has on consumer trust, actions, and expectations.
Retailers are Expected to Do More
The bottom line is that while shoppers are willing to change their purchasing behavior because of lingering concern for the security of their credit and debit cards, they want retailers to do more to keep their data secure.
Specifically, consumers surveyed want retailers to use the latest in encryption technology to protect any transaction made using debit or credit cards, so that even if the data itself is stolen, it cannot be used. Encryption technology only gives authorized parties access to private consumer details such as credit and debit card numbers.
- Encryption is Preferred: Nine in 10 consumers found retailers encrypting data to be a more appealing service for protecting their personal financial data than store-offered fraud and identity theft protection services (73 percent) or those services offered by a third party (61 percent). Nearly all consumers (97 percent) agree it would help protect them against identity theft.
- Security Matters: Respondents felt retailers could be doing more to protect their financial information and stated they will shift shopping habits toward retailers that take security seriously, with 82 percent reporting a willingness to shop more frequently at stores that leverage point-to-point encryption technology.
This strong demand for data encryption technology at the retail level aligns with Honeywell’s industry-leading data security solutions for retailers help ensure that customers can shop safely and securely. For example, working in conjunction with payment processing companies, Honeywell Captuvo sleds for Apple iOS devices encrypt credit card data at the instant a card is swiped, ultimately securing consumer data. It also enables the retail associate to complete the transaction in front of the customer, providing additional peace of mind that the credit information is not compromised. Payment gateways and processors then decrypt the data in secure facilities just before sending it on to credit card companies, such as Visa or MasterCard, for processing.
Read the survey report for further information.