UK Debit And Credit Card Fraud FiguresFigures released this week (03/10/2007) suggest that UK debit card and credit card fraud has risen. The introduction of 'chip and PIN' technology in the UK has had a mixed impact on these types of fraud. It seems that the criminal gangs engaged in card fraud have simply changed tactics - which was highly predictable. In the first six months of 2007, UK card fraud has reduced by 4 percent to £154 million. However, the modus operandi of criminal has changed. Before chip and PIN technology, criminals could steal cards or use a scanner or skimmer type of devide to capture card information. The thieves would not know the PIN number attached to the card. However, it has become much easier for criminals to find out PIN numbers. This means that they are now able to make their own fake cards with identical magnetic strips which can be used in cash machines overseas. This has caused theft involving cloned cards being used overseas to jump by 126 percent to £108 million. In essence, the criminals have been forced overseas. It is possible that these figures actually understate the situation. Banks only release the numbers that they have paid for. If a consumer or retailer is forced to pay the cost of the theft, the banks do not include it in their figures. On a slightly different but related note, journalist Rageh Omaar has been promoting a new documentary series for Virgin 1. The series is entitled 'Crime Invasion: Britain's New Underworld'. The series has been researching the changing face of UK crime and the gangs that control it. They found that Romanian fraud gangs have been responsible for up to 85 percent UK cashpoint crime and illegal card 'skimming'. |