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n the past five years, 29% of financial services customers worldwide who use credit or debit

cards have experienced card fraud. That's an increase from the summer of 2009, when just 18%of customers reported being a victim of card fraud.

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That increase is a key finding of a new study, commissioned by ACI Worldwide, an electronicpayment software developer, and conducted by Research Now, which surveyed 4,200 people in

North America, Europe, and Asia, as well as Dubai and Brazil, in December 2010.

Levels of card fraud vary widely by region. Over the past five years, for example, card fraud hit

43% of consumers in China, 32% in the United States, and only 11% in the Netherlands. (Rates

in the Netherlands are so low because like most of Europe, Dutch credit and debit cards featureEMV card security-- also known as "chip and PIN" -- to cryptographically protect cards when

used for point-of-sales purchases.) But despite the global increase in card fraud, 79% of card-

fraud victims in 2010 -- up from 75% in 2009 -- were satisfied with their financial institution's

response.

2010 Threats: Why they happened and the tools available to thwart them.

Take a quick look back to prepare for future threats.

Consumers in general also think that their banks are doing a good job of protecting them against

fraud. In the United States, for example, just 12% of consumers think that their bank could be

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doing more, while 19% of people globally say the same thing. But 29% of consumers in Brazil

and 42% in China aren't confident in their financial institution's ability to protect them againstfraud.

What accounts for different countries' differing levels of customer satisfaction? Speaking about

the survey results, Jasbir Anand, lead solutions consultant at ACI Worldwide, said in aninterview that customer satisfaction is relatively high in countries that are "banked" -- meaning

that consumers "use bank accounts and card payments as the primary vehicle for their cardtransacting," and where banks are also relatively good at spotting fraud. Compare that to

relatively "unbanked" countries, such as China, where most people use cash for the majority of

their purchases, and where satisfaction with financial services firms -- which may also have lessexperience spotting fraud -- is correspondingly lower.

Globally, the two other biggest predictors of consumer satisfaction are the speed with which

banks notify customers of suspected fraud, and how quickly they restore affected funds. In theUnited States, 40% of consumers said notification speed was their number-one fraud concern,

while 32% prioritized fund-restoration speed.

For receiving fraud notifications quickly, the survey also found that about half of all respondents

globally prefer to be contacted on their cell phone, either by a call or a text message. But from a

security standpoint, Anand warned that such notifications -- while useful -- could be a double-edged sword. "It opens up more opportunities for fraudsters to themselves contact customers and

engage in social engineering attacks," he said. "By piggybacking onto an existing process used

by the financial services organization, they can now try and steal more information fromcustomers."