A new study by researcher Zach Meyers, commissioned by the Computer & Communications Industry Association (CCIA Europe) cautions that the EU’s proposed Payment Services Regulation (PSR) could inadvertently make it easier for scammers to exploit consumers.
The study warns that amendments to the PSR tabled by Members of the European Parliament may disrupt current fraud-prevention efforts, which rely on cooperation between banks, online platforms, and telecom providers to combat complex scams.
Meyers cautions that the proposed changes would make banks, telcos, and platforms liable for compensating fraud victims, likely leading to blame-shifting instead of collaboration. This could discourage essential information-sharing between industries, ultimately weakening fraud defences. Drawing on data from the Netherlands and the UK, the report also notes that automatic reimbursement policies can reduce consumer vigilance and may incentivise fraudulent claims.
Instead, CCIA Europe urges EU lawmakers – and Member States, who still need to agree on a common position, in particular – to support cross-industry cooperation, instead of encouraging a blame-shifting approach to fraud liability.
