ADVERTISEMENT

Infographic: Debit card fraud is up

By Juan Rodriguez and 

More people are using their debit cards to pay for purchases, according to a new analysis from FICO -- and fraudsters aren't far behind.

The number of debit card fraud cases in which sensitive account details, including debit card numbers and PINs, are "skimmed" from ATMs and retail swipe machines has jumped substantially in recent years, say FICO researchers.

To skim customers' information, fraudsters attach small electronic devices to payment machines, such as ATMs, and use the devices to covertly scan and save the sensitive information stored on a card's magnetic stripe. Fraudsters can then take that information and use it to pay for goods online, where a physical card isn't needed. Or they can use it to create a new counterfeit debit card.

This kind of card-not-present fraud is now one of the leading sources of debit card fraud, says Doug Clare, vice president of product management at FICO. Counterfeit and stolen debit cards are also common, he says, but aren’t nearly as popular with fraudsters.

"As with credit, card-not-present is the most common category of fraud impacting [debit] accounts," says Clare. It's also the costliest. More money has been lost to card-not-present scams than to any other type of debit card fraud, according to FICO research.

Debit card fraud is up  
 
To use this CreditCards.com graphic on your site, use the following code:

 <center><a href="http://www.creditcards.com/credit-card-news/infographic-lower-default-rates-top-US-cities1701.php"><img alt="CreditCards.com Infographic: Consumers getting better about paying back debt" border="0" src="http://www.creditcards.com/credit-card-news/images/bank-cards-largest-decrease.jpg" height="325" width="344" /></a> </center>

See more infographics

Published: August 30, 2012


Join the discussion
We encourage an active and insightful conversation among our users. Please help us keep our community civil and respectful. For your safety, do not disclose confidential or personal information such as bank account numbers or social security numbers. Anything you post may be disclosed, published, transmitted or reused.

If you are commenting using a Facebook account, your profile information may be displayed with your comment depending on your privacy settings. By leaving the 'Post to Facebook' box selected, your comment will be published to your Facebook profile in addition to the space below.

The editorial content on CreditCards.com is not sponsored by any bank or credit card issuer. The journalists in the editorial department are separate from the company's business operations. The comments posted below are not provided, reviewed or approved by any company mentioned in our editorial content. Additionally, any companies mentioned in the content do not assume responsibility to ensure that all posts and/or questions are answered.




Follow Us


Updated: 12-07-2016


Weekly newsletter
Get the latest news, advice, articles and tips delivered to your inbox. It's FREE.


ADVERTISEMENT