According to a recently released report credit card fraud in the UK hit over half a billion pounds last year, with credit card crime soaring, partly due to cardholders’ details being stolen and used abroad in destinations where chip and pin is not yet used. Figures show that there has been a 20% year on year rise in this type of fraud, and last year credit card fraud levels resulted in losses of around £535 million.
Last year saw an increase in the number of fraudulent credit card transactions, which soared to 2.7 million transactions. The data comes from the payment clearing association, APACS, and the information was features in the recent Home Office annual crime figures report. Figures showed that the cost relating to crimes that involved cloned or counterfeit cards had risen by 46% to around £144 million.
The report stated: "The increase is driven by a rise in fraud abroad with UK card details stolen for use in countries yet to upgrade to chip and pin." There was also a sharp rise in relation to CNP, or Card Not Present, crime, which includes transaction made online or by phone where the actual card does not have to be present. The cost of this type of card fraud leapt to £290 million, which reflected a rise of 37%.
Online banking fraud levels on the other hand have fallen according to industry officials, although many people are still falling victim to phishing scams, where fraudsters send an email that appears to be from the bank and the consumer then links to a fake bank website via the email and enters his or her details.