UK card fraud losses fall to 11-year low
07 March 2012 | 11271 views | 3
Fraud losses on UK debit and credit cards fell seven per cent in 2011 to £341 million, an 11-year low, according to figures from the UK Cards Association.
Card-not-present fraud continues to pose the biggest threat to Brits, accounting for losses of £220.9 million in 2011, down three per cent on the previous year. Counterfeit fraud losses fell 24% to £36.1 million and card ID theft losses were down 41% to £22.5 million. In contrast, fraud losses on lost or stolen cards rose by 13% to £50.1 million.
Retail face-to-face fraud losses plummeted 36% to £43.2 million in 2011 while cash machine losses dipped 12% to £29.3 million. Losses from fraud committed on British cards within the UK fell four per cent to £261 million while abroad there was a 15% dip to £80 million, largely, says the Council, thanks to the increased roll-out of chip and PIN overseas.
Meanwhile, online banking fraud losses fell 24% from £46.6 million in 2010, to £35.4 million in 2011 despite an 80% rise in phishing attacks. The Payments Council says the fall is down to consumers better protecting their PCs and banks providing customers with additional software and hand-held devices to log on to online services.
The figures are less promising for telephone banking fraud, with losses up 32% to £16.7 million, and cheques, up 17% to £34.3 million.
Melanie Johnson, chair, UK Cards Association, says: "This is the third year card fraud losses have fallen - clear proof that our endeavours to fight fraud are packing a punch. Customers have also played their part in driving down losses by taking heed of advice about looking after their personal and financial details."