EVOLUTION OF CARD FRAUD IN EUROPE 2016
Fraud Trends - UK Losses Push European Card Fraud to New High
UK card fraud losses in 2016 topped the previous peak in fraud, set in 2008. That has pushed the overall losses for the 19 countries covered in our European Fraud Map to another new height — even with the exchange rate changes over the past year due to Brexit.
Card not present (CNP) fraud has gone from 50% of gross fraud losses in 2008 to 70% in 2016. This major swing brings new challenges for banks and retailers, as criminals thwarted by chip & PIN have moved to a less risky channel and took advantage of online payment trends. Hiding amongst the growth in online purchases is great from a criminal point of view, but finding and stopping fraudulent transactions just gets tougher.
Spotting the “needle in a haystack” in banking frauds and new trends requires new behavioural analytics and the use of machine learning, combined with enhanced information from outside the traditional data contained within a purchase. Leveraging innovations such as mobile analytics will allow us to spot the criminals without hindering people making purchases.
The European Fraud Map is based primarily on data from Euromonitor International, with supplementary data from the UK Cards Association.
Increase in Fraud YoY
Decrease in Fraud YoY
No Change in Fraud YoY
Data provided by Euromonitor International
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