E-commerce head urges scam arbitration for safer online shopping in Hong Kong
Consumers more at risk when using bank accounts for online transactions rather than third-party processors such as PayPal or credit cards
Hong Kong’s de facto central bank or lenders should give the operator of the Faster Payment System the power to arbitrate disputes between consumers and sellers using the service amid a rise in online scams, an e-commerce industry leader has said.
Stanley Lee Kei-chuen, head of the E-Commerce Association of Hong Kong, said on Friday that many Hongkongers used their bank accounts for online shopping transactions, putting them at risk of scams, whereas consumers elsewhere used third-party payment processors such as PayPal or credit cards.
“As an industry representative, we always say online shopping is safe. The unsafe part is your payment method,” he told a radio programme.
“You should never use your bank account to pay for the transactions. You should use third-party payment methods because they act as an arbitration body.”
Lee explained that when the third-party processors received payment from the buyer, they would check to see whether the delivery information was correct.