20 October 2017

US sees repercussions from EMV as criminals switch tactics

02 February 2016  |  11429 views  |  0 Online Shopping

Incidents of new account fraud in the US doubled last year, as criminals switched tactics in response to the introduction of EMV chip cards.

The 2016 Identity Fraud Study released by Javelin Strategy & Research, revealed that the number of identity fraud victims increased by three percent (13.1 million consumers) in the US last year, but that the amount stolen decreased by six percent to $15 billion.

The number of identity fraud victims was at its second highest level in six years, but the amount stolen was at its lowest point in the past six years. Nonetheless, $112 billion in total has been lost to ID fraudsters during that timeframe.

In 2015, the US began its migration to EMV, in a bid to crack down on in-person fraud and the profitability of counterfeit card operations. Fraudsters have reacted by moving away from existing card fraud, says Javelin, instead driving a 113% increase in incidence of new account fraud, which now accounts for 20% of all fraud losses.

Al Pascual, senior vice president, research director and head of fraud & security, Javelin, comments: “Fraud is evolving at a frantic pace although the amount of fraud has been relatively flat over the past four years. This just shows that when the industry cracks down on one type of fraud, criminals quickly shift their attack vector and area of operation.”

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

EMV chip cards account for one-in-three of all card-present transactions globally

EMV chip cards account for one-in-three of all card-present transactions globally

21 December 2015  |  8072 views  |  0 comments | 11 tweets | 10 linkedin
US gears up for EMV switch deadline

US gears up for EMV switch deadline

30 September 2015  |  7225 views  |  16 comments | 9 tweets | 12 linkedin
Just one in ten Americans have received chip cards - poll

Just one in ten Americans have received chip cards - poll

07 August 2015  |  11191 views  |  2 comments | 25 tweets | 10 linkedin
US bears the brunt of global card fraud losses

US bears the brunt of global card fraud losses

05 August 2015  |  12805 views  |  3 comments | 23 tweets | 13 linkedin
US shift to EMV gathers momentum

US shift to EMV gathers momentum

04 May 2015  |  18922 views  |  1 comments | 12 tweets | 14 linkedin
More than one billion records compromised by data breaches in 2014

More than one billion records compromised by data breaches in 2014

12 February 2015  |  8637 views  |  0 comments | 19 tweets | 20 linkedin
ID theft drives rise in UK fraud cases - Cifas

ID theft drives rise in UK fraud cases - Cifas

21 January 2013  |  6366 views  |  0 comments | 12 tweets | 6 linkedin

Related blogs

Create a blog about this story (membership required)
visit www.vasco.comvisit www.capgemini.com

Who is commenting?

Top topics

Most viewed Most shared
Ripple looks to drive bank adoption with $300m XRP rebate programmeRipple looks to drive bank adoption with $...
15930 views comments | 12 tweets | 4 linkedin
Swift positive on blockchain, but big challenges remainSwift positive on blockchain, but big chal...
9038 views comments | 16 tweets | 23 linkedin
satelliteGates Foundation backs Ripple collaboratio...
8182 views comments | 13 tweets | 10 linkedin
IBM uses blockchain to improve cross-border payments processingIBM uses blockchain to improve cross-borde...
7203 views comments | 9 tweets | 17 linkedin
Sibos 2017: API or the highwaySibos 2017: API or the highway
6361 views comments | 10 tweets | 21 linkedin

Featured job

Competitive
New York, NY - USA (some flexibility on location)

Find your next job