Chip and pin reduces UK fraud, but overseas fraud increases
The total UK payment card fraud losses increased 25% in 2007 to £535.2 million (US$1.08 billion), according to the UK payment association APACS. The main reason for this increase was the 77% rise in fraud committed overseas by criminals using stolen UK card details in 2007.
Fraud abroad now accounts for 39% of the total UK card fraud losses. APACS also commented that overseas fraud involving UK-issued cards typically occurs in countries yet to upgrade to EMV chip-and-PIN.
In 2006, total UK card fraud losses were £427 million, according to APACS. Overseas fraud involving UK cards was worth £117.1 million in 2006, rising to £207.6 million in 2007.
Chip-and-PIN has had a “hugely positive effect” on card fraud committed in the UK, since the introduction of the security technology in 2005, APACS says.
Fraud during face-to-face transactions in the UK fell from £218.8 million in 2004 to £73.0 million last year. Due to chip-and-PIN, the 2007 figures also show that fraud involving lost and stolen cards and mail non-receipt card fraud are at their lowest levels for 10 years, APACS says.
Lost and stolen card fraud totaled £56.2 million in 2007, while mail non-receipt card fraud amounted to £10.2 million.
Last year, online banking fraud losses fell 33 percent to £22.6 million, according to APACS.
For a more detailed list of UK fraud type please refer to APACS’s website: http://www.apacs.org.uk/2007Fraudfiguresrelease.html ![[end]](/resources/bullet/cr80news-4.gif)
