Customers like to use PayPal because they only need to remember one login instead of their credit card number, expiration date, security code, and billing address.
However, while PayPal is one of the most widely-used payment methods, it has become a top target for fraudsters: according to MoneyTransfers.com, over 60% of merchants consider PayPal a top fraud method.
The combined percentage of merchants considering Google Pay and Apple Pay as fraud payment methods is much lower than for PayPal. This could be because these digital wallets allow users to take advantage of security features on their mobile devices, such as biometric authentication. So they are often considered to be low-fraud.
MoneyTransfers CEO Jonathan Merry comments: “It’s clear that fraudsters are targeting PayPal because it is so widely used. We need to continue to educate customers about the importance of security and how to protect themselves from fraud.
“At the same time, we must continue developing and improving fraud prevention technologies so merchants can trust their customers.”