For hundreds of millions of consumers globally, mobile phones have expanded access to financial services and products. While this has helped previously unbanked consumers manage their financial health, new risks are emerging particular to digital financial services, such as fraud targeting these mobile accounts, or debt stress from high-cost digital consumer lending.
IPA is addressing consumer protection risks in digital finance through new methods of data analysis and rigorous testing of solutions through impact evaluations. IPA’s Consumer Protection Research Initiative has launched more than a dozen studies addressing risks as diverse as phishing scams in mobile money, overindebtedness in digital credit, and poor customer care mechanisms. By working with regulators, financial service providers, and civil society, we are building solutions that will ensure consumers are well-protected from new risks that emerge alongside financial innovations.