CNP Reports Online Credit Card Fraud Increases 137%

According to the CNP Report, online credit card fraud involving card-not-present transactions has increased by up to 137%. The figures looked at the period from the beginning of Q2 in 2015 to the end of Q1 in 2016.

The findings come directly from anti-fraud technology provider Forter. The company tracked transactions across its network and found that fraud rates had gone up for each quarterly period. The results that Forter found were quite interesting regarding EMV because typically, fraud rates tend to decrease during holiday periods but it never happened this year.

Note: MiCamp predicted this increase in fraud coming and we wrote about it last year. See the post: Prepare for Staggering Rise of Card-Not-Present Fraud.

The reason for this is EMV. EMV has made it practically impossible for cyber criminals to commit counterfeit credit card fraud anymore. So the cyber crooks needed to wise up and find a new way to commit fraud. According to Forter, this was expected because they had been monitoring cyber crime forums on the dark web and knew that cyber crooks would be looking for new ways to commit fraud.

What this demonstrates is how effective EMV has been across the United Statues so far at preventing and reducing counterfeit credit card fraud. So if you needed any more convincing that you should upgrade your payment systems to EMV then this should be it.

What the article also points out is that cyber criminals are beginning to turn to automated methods for committing cyber crime. For example, nearly 80% of fraud attacks in Q1 2016 were by botnets. Cyber criminals are continuing to grow in their sophistication and creativity and they’re not going to stop anytime soon.

If you still haven’t upgraded to EMV then now’s the time to start because the longer you go without it, the more exposed you are to cyber criminals like the ones we’ve described here. They won’t stop at anything so it’s important you take action now and protect yourself against all fraud, including online credit card fraud.

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