We use cookies to provide you with a better experience. If you continue to use this site, we'll assume you're happy with this. Alternatively, click here to find out how to manage these cookies

hide cookie message
RSS FeedRisk

Financial fraud declines


Credit card and online fraud fell in the first half of the year but losses from ‘old fashioned’ scams increased

Article comments

The scale of financial fraud losses fell during the first six months of the year, the latest figures on the subject showed on Wednesday.

Credit card fraud declined 9 percent compared with last year largely because of the growing prevalence of chip and PIN technology, according to Financial Fraud Action UK.

Losses resulting from online banking fraud were down 32 percent on the same comparative basis, which the campaign group behind the figures attributed to growing consumer awareness of the relevant issues and improvements in fraud detection software.

Credit card users in the UK were defrauded at a total cost of £169.8 million in the first six months of this year, while banking fraud cost consumers around the country £16.9 million, said FFA UK.

“Losses are appreciably lower than they were a few years ago and everyone involved in tackling fraud has reason to be encouraged by this,” said Paul Barnard, head of the police’s cheque and plastic crime unit.

Positivity on the subject was tempered however by data showing a rise in losses due to “old fashioned” financial crime including phone-based, cheque or mail order scams.

PwC’s director of information and cyber security William Beer noted some interesting potential ramifications of a successful clampdown on fraud affecting banking consumers.

“The fact that the banks are doing such a good job in protecting their customers and themselves from online fraud means that organised criminals are now moving more towards other, possibly softer targets, such as the European Carbon Trading Market,” he said.

Beer said public and private sector organisation need to adopt new operating structures and governance policies in order to effectively counter the threat posed to their operations by ‘cyber criminals’.

“It is also important to note that cyber-crime is global, as are many of the banks that criminals target, so figures based solely on UK fraud might not tell the whole story,” he said in response to FFA UK’s latest data release.

Share:

Recommended Articles

Comments

Financial fraud declines
Risk

How Nokia helped and hindered Microsoft's earnings

How Nokia helped and hindered Microsoft's earnings

The Nokia Devices and Services business helped boost Microsoft's revenue, but hurt profitsmore ..


Lords: Google cannot decide what data should be forgotten

The EU's right to be forgotten ruling 'must go'more ..

Bankers may face seven-year clawback on bonuses

New rules could mean bankers could have their bonuses clawed back up to seven years after they received them if appropriatemore ..

Fraudsters get younger as tech savvy youth fund extravagant lifestyles

“Youth doesn’t always equal innocence” says KPMG fraud expertmore ..

Can shaky cyber security scupper an M&A deal?

In M&A a cyber attack on a target company could have a material impact on its valuemore ..

Why CFOs are changing their thinking on sustainability

Pernod Ricard CFO Gilles Bogaert has nailed his 'green' colours to the mastmore ..

Send to a friend

Email this article to a friend or colleague:


PLEASE NOTE: Your name is used only to let the recipient know who sent the story, and in case of transmission error. Both your name and the recipient's name and address will not be used for any other purpose.



In Depth
Can finance rise to the challenge of major transformation?

Can finance rise to the challenge of major transformation?

Outdated finance processes, systems and competencies leave too many questions unanswered more ..

In Depth
Interim CFO or consultant? The pros and cons

Interim CFO or consultant? The pros and cons

Ed Harding offers an insight into the life of an interim CFO and the advantages in driving transformation more ..

Advertisement

* *