Outlined in an announcement on Singapore’s Ministry of Home Affairs website, a new marketplace transactions safety ratings initiative has been put in place to inform consumers on the transaction safety of different ecommerce marketplaces, based on the range of anti-scam measures they have in place.
Major online marketplaces have already been assigned their safety rating, depending on their implemented anti-scam measures. The safety rating indicates the extent to which they have implemented safety features, which are assessed to be critical in combating scams. These include:
- Measures to verify seller authenticity.
- Measures to monitor fraudulent seller behaviour.
- Availability of secure payment options.
- Maintenance of transaction records and user data.
- Reporting and Dispute Resolution mechanisms.
The ratings range from one to four ticks, with four ticks being the highest and best rating. Ecommerce marketplaces with all the critical anti-scam measures in place will be awarded the full four-ticks. Right now Amazon, Lazada and Qoo10 are topping the scale with four ticks, Shopee and carousel have three and Facebook marketplace have only two. These ratings are reviewed annually.
In Singapore, ecommerce scams are a common issue. The marketplace Transactions Safety Ratings (TSR) initiative will be an important part of limiting online scams in the country.
Alongside the introduction of the TSR system the TR 76, a national standard for ecommerce has also been revised to include additional anti-scam guidelines for eretailers and e-ommerce marketplaces, to offer better protection for consumers transacting online. The additional anti-scam guidelines will set out best practices for eretailers and ecommerce marketplaces.
