14 DAY TRIAL // According to the UK Cards Association, plastic card, online banking and check fraud losses have decreased considerably during the first half of 2010 compared to the similar period last year.
Losses resulted from fraud involving UK cards amounted to £186.8 million (around $296 million) from January to June this year.
This represents a 20 percent decrease compared with the figure recorded for the first half of 2009. Not only that, but according to the association, it represents the lowest half-year figure in the past ten years.
The significant drop is attributed to the extended roll-out of chip and PIN cards in the UK and abroad, increased adoption of anti-fraud programs like Verified by Visa or Mastercard SecureCode and better awareness regarding attack vectors.
Losses attributed to online banking fraud have dropped even more, by 36 percent, and totaled £24.9 million ($39.5 million) during the first half of the year.
This change is attributed to banks using better fraud detection systems and more people using up-to-date antivirus software.
However, the recent dismantling of an international ZeuS trojan-centered cyberfraud network, which had a UK branch, suggests that this type of fraud is still very attractive to criminals.
Check fraud losses have also decreased by 13 percent and now amount to £13.5 million ($21.4 million). The fact that check usage is on a constant decline has contributed to this.
Phone banking was the only type of fraud for which losses increased in 2010. It totaled £5.8 million ($9.2 million), nine percent more than during the first half of 2009.
In these attacks, consumers are usually targeted through cold calling or fake emails and are asked to disclose their financial details.
"These figures are testament to the importance that the UK’s card companies place on driving down card fraud losses and reducing any inconvenience to customers.
"We are determined to make sure that customers feel as safe and secure as possible when they use their cards. To that end the banking industry is committed to detecting and preventing card fraud in all its guises," said Melanie Johnson, chair of the UK Cards Association.