Select Country        North America

Australian Card Payments Fraud

You are here

Australian Card Payments Fraud

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:

  • card fraud is increasing online
  • as chip technology continues to prove effective in tackling counterfeit fraud in Australia

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:

Domestic use with Australian cards:

  • Counterfeit / skimming fraud decreased  by 10% to $22.9 million
  • CNP fraud increased by 38% to $136.7 million.

 

Overseas use with Australian cards:

  • Counterfeit and skimming fraud increased by 77% to $28.1 million
  • CNP fraud increased by 13% to $226.3 million  

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 cardMagnetic strip cards more susceptible to fraud industry is becoming more effective in the fight against counterfeiting, criminals are concentrating more on online fraud.

 

What Can You Do?

The Australian consumer can do simple things to help prevent online card fraud like:

  • keeping their PC security up to date
  • ensuring the website transaction is conducted on a secure server.  Secure servers use the Secure Sockets Layer (SSL) protocol for data encryption and decryption to protect data from unauthorized interception.  SSL  is evidenced by:
  • a padlock image somewhere on the webpage
  • the URL has a “https” at the beginning instead of a “http”

Secure Server

Secure Server

 

 

 

 

 

 

 

 

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:

  • Use a payment service provider such as PayPal (Paypal is widely accepted by many retailers).  In this way your personal details remain with PayPal and are not handled by the retailer’s website.
  • Use a top up card, which are used  as a credit card but are first funded by transferring money from your account to the card.  In this way if the card details are hacked then it is only the funds on the card at risk, and your real credit card information is safe.  Top up cards are available for institutions such as Australia Post

 

 

 

Disclaimer: The content of this article and other articles on this website are for informational purposes only and do not constitute professional advice. Please seek advice from a professional in the relevant field, in relation to any specific matter. Refer to the website Terms and Conditions. 

 

0  

You May Also Like

Similar Articles

Best of the Web Deals & Offers

Home Appliances
Great Prices on a Great Range of Refrigerators and Grills
Home Automation
Smart Home. Its Easy and Affordable
Ladies Golf
Get Her Involved in Your Hobby!
Mens Watches
Great Watches Still Rock. Check These
Jewelry
Quality Jewelry Great Savings
Golf
Great Golf Deals. You Deserve It!
Ladies Golf Deals
Jewelry Deals
Watch Deals
Ladies Watch Deals
BBQ Deals
Home Appliance Deals
Home Tech
Golf Deals