Home / Payments / Payments fraud: the word from the Fed

Payments fraud: the word from the Fed

There was a lot of buzz around this year’s Federal Reserve Bank of Chicago’s
Payments Conference, “Payments Fraud: Perception versus Reality”.

First, there’s the sheer numbers involved. For example, it is estimated that
each year $3.5 billion worth of chargeback losses occur in the USA through
fraudulent transactions, according to Orbitz.

Bruce Cundiff of Javelin Research had some particularly interesting stats,
that show identity fraud is on the decline in the USA from 10.1 million cases in
2003 to 8.1 million today, with the cost reducing 12% during this period from
$56 billion to $45 billion. Ouch! $45 billion losses through identity fraud is
still pretty steep, with the average amount defrauded in each case coming in at
just over $5,500.

Read
more …

About Chris M Skinner

Chris M Skinner
Chris Skinner is best known as an independent commentator on the financial markets through his blog, the Finanser.com, as author of the bestselling book Digital Bank, and Chair of the European networking forum the Financial Services Club. He has been voted one of the most influential people in banking by The Financial Brand (as well as one of the best blogs), a FinTech Titan (Next Bank), one of the Fintech Leaders you need to follow (City AM, Deluxe and Jax Finance), as well as one of the Top 40 most influential people in financial technology by the Wall Street Journal’s Financial News. To learn more click here...

Check Also

Who owns the customers’ data?

Following on from the discussions about identity on Monday, it gets interesting to think about …