Impact assessment of European policies for combating payment card fraud on the Stakeholders

Sofia University “St. Kliment Ohridski”, Sofia, Bulgaria

^* Corresponding author: atanasova.magi@yahoo.com

Abstract

The security of non-cash payment instruments is a key factor for the economic stability of the European Union. Crime with electronic payment instruments and related illegal activities affect the Digital Single Market and the financial interests of the European Union. Organized crime groups generate € 1.44 billion a year in the Community from payment card fraud, with illegal proceeds reinvested in illegal activity and not recovered. The current scientific article aims to assess an ex-post impact of European policies for combating payment card fraud and counterfeiting on the stakeholders, in particular payment process participants. The goal is to establish the policy efficiency by analyzing the cost and benefits of the specific policy for the participants. A methodology has been developed, based on a multidisciplinary approach. The following scientific methods are used: case study; research and review of legal and other documents; content analysis of strategic and annual reports and assessments; analysis of qualitative indicators and secondary analysis of empirical data. The results of the survey show that the cost of crime prevention and control measures is high, but responsibility for costs is shared between the public and private sectors, and consumers. Strengthening cooperation between stakeholders will lead to higher policy benefits and lower costs.