Australian Payments Clearing Association (APCA), the payments industry self-regulatory body has released a report comparing fraudulent use statistics between 2014 and 3015, showing that:
Use of a card online does not require the card to be present. It is this Card Not Present (CNP) fraud which continues to increase, and now accounts for 79% of all Australian card fraud by value. A breakdown of the numbers reveals that:
In terms of counterfeiting and skimming, the chip and pin type point of sale devices are less prone to fraudulent activity, and it is the older magnetic strip and signature devices being targeted for fraud. As the card industry is becoming more effective in the fight against counterfeiting, criminals are concentrating more on online fraud.
The Australian consumer can do simple things to help prevent online card fraud like:
However, it also pays to research the company you are intending to purchase from, especially if it is not a well-known retailer.
The risk of loss can be minimised by:
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