European Card Fraud - Netherlands

A Major Challenge with Card Fraud Loss Growth

While the Netherlands has continued to maintain control over many card types, the main driver of a significant increase in card fraud losses (which are up 21% from 2024) is Card-not-Present fraud. This trend mirrors many across Europe; the sharp spike, however, will be concerning to the Netherlands as this fraud type has increased nearly 200% on average, year on year, since 2018. Basis points remain healthy at 1.5, which is a decrease from 2BPS in 2024; this is a promising sign that despite significant fraud increases, overall card spending is also increasing, and that the fraud losses are at least proportional.

Based on the latest EBA Fraud Report, Non SCA (Strong Customer Authentication) had a noticeable increase, indicating the continuous use of social engineering and scam tactics. In the Netherlands, the problem of scammers tricking victims into circumventing warning messages and anti-scam guidance is a major cause of concern, with social media being cited as the main mechanism for fraudsters to target Dutch consumers. 

Banks in the Netherlands should shore up their defences against rising card-not-present fraud, especially driven by social engineering. By utilising advanced AI tools, intelligent intervention methods and full 360 customer profiling, banks can get ahead of the scammers by identifying and acting in real time to prevent fraud before it even reaches the payment stage.