Profitt Report: Study says, identity fraud hit high last year
You hear people constantly talking about identity fraud, and that’s for good reason. Identity fraud in 2016 was the highest on record in the U.S. according to Javelin Strategy and Research.
“We've been doing this study now for a little over a decade and we’ve never seen fraud this pervasive before, said Al Pascual, senior vice president and head of fraud and security at Javelin Strategy and Research.
He said the transition from magnetic stripe cards to chip cards could be a big reason why fraud was up 16 percent across the country last year.
“These new chip cards make it harder for criminals to conduct fraud at a typical merchant's brick and mortar store,” he said, “they don't have to drive store to store so now they're much more efficient.”
Pascual said they’re using these stolen card numbers online.
However, across the board, Pascual said the amount stolen is smaller.
“You can go into your bank account for some banks and say, ‘I want to be notified of transactions over $500, well, criminals know that you and I are looking for it, the bank is looking for it, so instead of $500 the transactions are $200,” Pascual said.
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