- 26 Apr, 23
EBA Identifies Two Key Consumer Protection Issues in EU
The European Banking Authority (EBA) has published its 8th annual consumer trends report, which identifies two key issues facing consumers in the EU: fraud in retail payments and over-indebtedness and arrears. These issues will shape the EBA’s consumer protection priorities over the next two years. If the news caught your attention, continue reading the Zatrun.com content below.
Table of Contents
Fraud in Retail Payments
The EBA’s report found that fraud in retail payments was a major issue for consumers in 2022. The report found that the value of fraud in retail payments increased by 10% in 2022, and that the number of fraud cases increased by 5%. The EBA attributed the increase in fraud to a number of factors, including the rise of new and different techniques implemented by fraudsters, and the fact that financial institutions in several EU Member States had not yet complied with the requirements set out in the Payment Services Directive (PSD2) and the EBA’s technical standards on strong customer authentication.
Over-indebtedness and Arrears
The EBA’s report also found that over-indebtedness and arrears were a major issue for consumers in 2022. The report found that the number of consumers in arrears on their mortgage payments increased by 2% in 2022, and that the number of consumers in arrears on their consumer credit payments increased by 3%. The EBA attributed the increase in over-indebtedness and arrears to a number of factors, including the rise in interest rates, the impact of the COVID-19 pandemic, and the fact that some consumers were taking on more debt than they could afford.
EBA’s Consumer Protection Priorities
The EBA has identified two key consumer protection priorities for the next two years:
- Combating fraud in retail payments
- Addressing over-indebtedness and arrears
The EBA will work with national authorities in the EU to develop and implement measures to address these two issues. The EBA will also work with consumers to raise awareness of these issues and to provide them with information and support.
The EBA’s consumer trends report provides valuable insights into the key issues facing consumers in the EU. The EBA’s work to address these issues will help to protect consumers and to ensure that they have access to fair and transparent financial services.