Saturday June 18, 2016

Last Call For Old School Credit Card Fraud In The U.S.

According to MasterCard, almost 70 percent of U.S. consumer credit cards now have chips, and 76 percent of the 200 biggest merchants are able to accept them. Naturally, crooks are expected to exploit what they have before the switch is complete.

Counterfeit-card fraud will rise to $4.5 billion in 2016, up 12.5 percent from last year, as crooks ramp up their thievery before all merchants and banks have moved to accept the more secure chip technology, said Julie Conroy, an analyst at financial-industry researcher Aite Group. The theft is especially hurting retailers that hadn’t equipped their stores to accept chip cards by Oct. 1, when banks stopped footing the bill for fraud committed at non-compliant locations. "There’s a fire sale, to try to burn through all of the stock of card data that they’ve seen," Conroy said.