British firms losing business due to poor data security

24 September 2007
Two thirds of UK consumers would rather take their business elsewhere than go with a company that has poor security measures in place, according to a new study by CreditExpert.co.uk - the credit monitoring and identity fraud protection service from Experian.

The figures revealed that no less than 65 per cent of respondents said they would never buy again from an organisation that did not keep their personal information absolutely safe and more than half (52 per cent) would go out of their way to dent the reputation of the guilty company, while 24% of those surveyed would seek legal advice to resolve personal security breaches.

It appears these attitudes could well be prompted by a fear of identity fraud as nearly a third (22%) reported that they are acquainted with someone who has been a victim of identity fraud.

Darryl Bowman, commercial director of CreditExpert, explains: “Personal experience of identity fraud and the publicity surrounding recent data breaches that affect many thousands of people means that more of us have become concerned about the capability of the organisations we deal with to hold personal data securely.

“People are demanding that companies, government and charities get to grips with the problem. One practical and cost-effective way to reassure staff and customers after a data breach is to give them access to an online credit monitoring and ID fraud protection service such as CreditExpert. This survey shows it is a simple and inexpensive way to rebuild trust.”

“People should not have to wait for a data breach to happen before action is taken –they should have the power to monitor their personal information hands-on and nip any potential attempts at identity fraud in the bud.”

Respondents were also asked which organisations they least trusted to keep personal data safe. Topping the list were car dealers with 46%, followed by insurance companies (34%), internet companies (33%), and national and local government (32%). Respondents believed that banks would be the most secure with only 15% worrying that they fail to keep their details safe.

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