Fraud rates are higher for highest-priced goods

Thursday 29 May 2014 07:29 CET | News

The highest percentage of fraud occurs with the highest-priced goods, with transactions of more than USD 400 registering a 35% higher fraud rate than average, a recent study indicates.

According to the Fraud Index report by 2Checkout, by product category, the highest global fraud rates involve cable, satellite and pay television, demonstrating more than 4 times the average fraud rate.

The same study points out that geographically, the lowest fraud rates in the world are found in the Nordic countries (Denmark, Finland, Norway) and Belgium, while the highest are in Indonesia, Pakistan and Romania. Rates between high fraud and low fraud countries can vary by as much as 1000%.

Daniel Greenberg, acting chief marketing officer for 2Checkout, mentions that as merchants seek sales growth by expanding internationally and selling into emerging growth markets, they will encounter fraud.

The survey is based on a worldwide sample of almost 1 million payment transactions tracked each quarter.

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Keywords: fraud, online security, online transactions
Categories: Fraud & Financial Crime
Countries: World
This article is part of category

Fraud & Financial Crime