Consumers’ Association: Afterpay tackles security leak | Money

Services such as Afterpay and Klarna, where customers can pay for their online orders afterwards, have been targeted by cyber criminals. It turned out to be very easy to create an account in someone else’s name. This allowed orders to be made, with the invoice going to someone else who knew nothing about the orders.

Hundreds of consumers received ghost invoices from Afterpay and Klarna last year. These involved bills ranging from a few tens to hundreds of euros for products they had never bought.

The Consumers’ Association already raised the problems in April, but apparently Afterpay is only now taking action. According to the union, the Australian company is investigating various user authentication techniques, including iDin. This allows a webshop to check a given name. This can help prevent order fraud.

Klarna has already introduced an extra verification after it appeared at the beginning of this year that the Klarna accounts had no password protection.

Afterpay could not be reached for comment on Tuesday.

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