Thu 30th Nov, 2006
Credit Card Fraud Declines
The first six months of 2006 saw a 5 per cent decrease in credit card fraud. This is according to the latest figures from banking association APACS. This is a £219.5m drop to £209.3m.
CNP fraud accounts 46 per cent of losses, £95.3m compared to a 29 per cent increase between 2005. Counterfeit card fraud losses are up 16 per cent to £53.0m. Store based fraud decreased 43 per cent to £42.1m, following a 35 per cent decrease from the year before.
Cheque fraud is down to £16m, from £21.6m in the first half of 2005, a decrease of 26 per cent.
The study continues to reveal that Internet, phone and mail order fraud increased in the same period. Online bank fraud losses rose by 55 per cent from £14.5m in the first six months of 2005 to £22.5m in the same period this year. Phishing scams are still the main cause of online fraud, not purchasing products from vendors.
Sandra Quinn, director of corporate communications at APACS, said: “These latest fraud figures show that the industry’s efforts are making their mark. However, each and every one of us can also help defeat the fraudsters, and protect our cards and online accounts, by keeping our PINs, passwords and personal information safe and secure.”
APACS reports that the major segments of UK consumers are not aware of the damage a fraudster can do to their Consumer Credit Information.
Card fraud abroad increased by 16 per cent as fraudsters target countries that have not implemented the chip technology. The European banking industry plans to fully integrate chip authorisation technology by 2010.