LONDON–Credit unions with members who travel (or hope to travel) in Europe should note card fraud losses across the continent have continued to rise, with nearly half of all losses coming in the United Kingdom.
Data analyzed by Buy Shares found Europe’s card fraud losses amount to over 1.55 billion euros. The United Kingdom accounts for 45.36% of the losses.
The U.K losses stand at Є706.9 million with France accounting for the second-highest losses at Є440.9 million. Germany is ranked third at Є91.5 million while Spain closely follows with losses totaling to Є90.6 million. Italy is fifth with Є67.1 million in card fraud losses. From the data, Romania has the least losses at Є2.9 million.
"In general, payment companies need to deploy multiple techniques to prevent fraud like machine learning and behavior analytics to identify unknown behavior on accounts,” the Buy Shares report states. “There is also the need to set up rules that target known threats and behaviors that could indicate fraudulent activity. Combining the mentioned techniques will create a hybrid monitoring solution. There is a need for cross border cooperation like the use of integrated fraud and risk prevention services. The services incorporate modern modeling techniques."
The research further highlighted the distribution of fraud losses on U.K.-issued debit and credit cards as of 2019 by type. Remote purchase accounts for the highest losses at 76% followed by stolen or lost cards at 15%. Card ID theft is third with a share of 6% with counterfeit cards having a share of 2%. Cards not received has the least share at 1%.
The full report can be found here.