'Quickpass is safe,' China UnionPay promises after CCTV exposé
China UnionPay, a Shanghai-based bank card organization, reaffirmed that its Quickpass services are safe one day after they were questioned by an annual CCTV program on the protection of consumer rights.
Launched in early November 2015, Quickpass is a kind of contactless payment product that enables cardholders to pay by waiving their card in front of a contactless payment terminal.
The Quickpass service is given a load amount capped at 1,000 yuan (US$148.9) and an upper daily limit on purchase amount. Within that range, consumers can make payments at UnionPay card-accepting terminals without signing their names or entering the PIN for their debit cards.
But this may leave cardholders open to falling victim to identity theft, the “315” evening show hosted by CCTV on World Consumer Rights Day suggested.
What is worse, most consumers are not fully aware of potential risks and seem not to have been fully notified while applying for the cards, the program’s investigation showed.
In response, China UnionPay claimed that the Quickpass service is both “convenient and safe” and it has been widely adopted throughout the world. Their research indicated identity theft was “of very low frequency” and that the risk ratio for such transactions was 2 in 10 million, well below the average fraud level for the whole sector.
To protect cardholders’ interests, it has established a compensation mechanism together with commercial banks, where customers can receive full compensation within 72 hours after their declaration of losses or once a case is confirmed as identity theft, the statement said.
China UnionPay noted that it has informed cardholders using the Quickpass service through announcements on its official website, card collection contracts and its WeChat account among other channels, but some users remain not fully aware of the functions and safeguard measures of such services.
The company said it will work with banks to improve its services and offer more convenience for users.
On top of that, it will endeavor to cooperate with public security officials in the crackdown on bank card crimes and will further enhance its technologies.