Consumers are making more debit card transactions without the physical card, and fraudsters are taking notice, according to a major study released Thursday.
Transactions such as e-commerce payments, push payments, and peer-to-peer transfers using the accounts backing debit cards, but not the plastic itself, are rising dramatically, according to the 14thannual Debit Issuer Study from Pulse, a major electronic funds transfer network and a unit of Discover Financial Services. Such cardless transactions soared 24% in 2018 to account for 25% of all debit card transactions, up from 20% the prior year, according to the study, which, as in prior years, was compiled in conjunction with the consulting firm Oliver Wyman. Sixty-three financial institutions representing 44% of the U.S. debit card market by cards issued participated in the study, according to Pulse.