FICO Study: Indonesian Consumers Hold Banks Liable for Scam Losses

Rising scam incidents and low expectations for refunds highlight growing pressure on banks to act

JAKARTA, Indonesia--(BUSINESS WIRE)-- FICO (NYSE: FICO)

Highlights:

While some consumers acknowledge personal responsibility, more than a third blame either the sending bank (15%) or the receiving bank (19%)
69% of scam victims will complain to their bank, while 8% will escalate to a regulator if unsatisfied with the bank’s response
Conversely, 69% of consumers would feel positive about their bank if it proactively declined a payment that had been identified as part of a scam

A new survey by global analytics software leader FICO reveals the significant risks Indonesian banks face as scams rise and consumer expectations shift. According to FICO’s 2024 Scams Impact Survey: Indonesia, one in three consumers blame banks—either the sender’s or receiver’s—for scam-related losses, even though many accept they may never be refunded.

In addition, 69% would file a formal complaint if they were unsatisfied with their bank’s response to a scam, 12% said they would switch banks, and 8% would escalate to a regulator. These findings underscore mounting pressure on banks to take a more proactive role in scam prevention—or risk reputational damage and customer attrition.

“Fraud prevention is no longer just a compliance requirement—it’s a key factor in customer trust and loyalty,” said Dattu Kompella, managing director in Asia for FICO. “Consumers expect banks to be at the forefront of the fight against scams, and institutions that fail to meet these expectations will struggle to remain competitive.”

Consumers Expect Protection, Not Payouts

While refund policies are a growing focus for regulators worldwide, Indonesian consumers appear to have unusually low expectations when it comes to refunds. According to the survey, nearly 6 in 10 (59%) believe banks should “never” or “only rarely” refund scam victims, while just 3 in 10 (27%) say banks should provide refunds all or most of the time—well below the global average.

“This data turns the refund debate on its head,” added Kompella. “Indonesian consumers are pragmatic—they don’t expect refunds, but they do expect their banks to act as a shield. That means leveraging technology, data, and real-time decisioning to prevent scams before the money leaves the account.”

Consumers Demand Stronger Scam Prevention Measures

Across Indonesia, scam exposure continues to rise. 66% of consumers reported receiving suspicious messages in 2024, up 2 percentage points from 2023. 57% said a friend or family member had been scammed, an increase of 8 percentage points from the previous year.

And while 55% of Indonesians say they would take personal responsibility if tricked by a scam, many still expect their banks to share the burden. More than one-third of consumers blame either the sending bank (15%) or the receiving bank (19%), highlighting a shift in expectations toward shared accountability.

“Indonesian consumers want their banks to be active partners in the fight against fraud,” added Kompella. “This is a crucial opportunity for banks to strengthen their defences and proactively protect consumers. By doing so, banks not only safeguard their customers' finances but also reinforce their reputation as trusted protectors.”

Proactive Fraud Prevention Drives Positive Sentiment

The survey also shows that proactive scam prevention builds consumer trust. 69% of Indonesian consumers said they would feel positively toward their bank if it blocked a payment linked to a suspected scam, even if the action caused a temporary delay. This finding reinforces the value of real-time decisioning, automated alerts, and customer education.

“Effectively combating scams requires more than just good intentions—it demands intelligent systems,” concluded Kompella. “Technologies like AI-driven analytics, real-time decisioning, and contextual engagement empower banks to act quickly and precisely, delivering targeted warnings or triggering step-up authentication or suspending a transaction before it's completed.”

FICO’s survey was conducted in 2024 by an independent research company. It surveyed 1,001 Indonesian adults, along with approximately 11,000 other consumers across 14 countries, to explore their experiences regarding RTP usage, scams, and their banks’ scam prevention capabilities.

About FICO

FICO (NYSE: FICO) powers decisions that help people and businesses around the world prosper. Founded in 1956, the company is a pioneer in the use of predictive analytics and data science to improve operational decisions. FICO holds more than 200 US and foreign patents on technologies that increase profitability, customer satisfaction and growth for businesses in financial services, insurance, telecommunications, health care, retail and many other industries. Using FICO solutions, businesses in more than 80 countries do everything from protecting 4 billion payment cards from fraud, to improving financial inclusion, to increasing supply chain resiliency. The FICO® Score, used by 90% of top US lenders, is the standard measure of consumer credit risk in the US and has been made available in over 40 other countries, improving risk management, credit access and transparency.

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