South Africa registers an overall decrease in card fraud

Friday 27 April 2018 09:54 CET | News

The South African Banking Risk Information Centre (Sabric), on behalf of the banking industry, has released its Card Fraud Stats for 2017, which reflect an overall decrease in card fraud. 

According to the study, debit card fraud decreased by 8.5% while credit card fraud increased by 1%. Lost and/or stolen credit card fraud saw a 44.5% increase and accounted for 5.9% of overall gross fraud losses in 2017, with 76.1% of fraud occurring in South Africa. Criminals mostly stole, swopped or installed card entrapment devices at ATMs and then shoulder surfed victims to obtain their PINs.

The year 2017 also saw a significant decrease in counterfeit card fraud, continuing the trend for 2016. Counterfeit debit card fraud saw a decrease of 32.2%, while counterfeit credit card fraud decreased by 23.2%. These decreases can be attributed to the robust mitigation strategies implemented by the banks.

Industry statistics indicate that credit card related card-not-present (CNP) fraud is still the leading contributor to gross fraud losses in South Africa, and showed an increase of 7.4% from the previous year, accounting for 72.9% of the losses on SA-issued credit cards. CNP debit card fraud showed a more significant increase of 60.7% due to certain banks allowing online CNP transactions on debit cards.

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Keywords: South Africa, debit card fraud, report, banking, SABRIC, CNP fraud
Categories: Securing Transactions | Digital Identity, Security & Online Fraud
Countries: World
This article is part of category

Securing Transactions