Card fraud losses in 19 European nations reach record €1.8bn in 2016
Total card fraud losses for 19 European countries has reached approximately €1.8bn ($2bn) in 2016, according to a report by FICO.
In 2015 the UK’s card fraud growth was the highest in Europe, but in 2016 Poland (10%) and Sweden (18%) saw higher rises.
The UK recorded card fraud losses at £618m ($800m) in 2016, a 9% increase over 2015.
The report has also revealed that card not present (CNP) fraud has gone from 50% of gross fraud losses in 2008 to 70% in 2016.
Overall, ten countries witnessed an increase in fraud losses, while eight saw a decrease. However, the situation did not change in Romania compared to the previous year.
FICO senior consultant for fraud Martin Warwick said: “The growth in online spending and CNP fraud brings new challenges for banks and retailers, as criminals thwarted by chip & PIN have moved to a less risky channel.
“Spotting the ‘needle in a haystack’ requires new behavioural analytics and artificial intelligence, combined with enhanced information from outside the traditional data contained within a purchase.”
Warwick added that FICO is working with banks to advance the use of machine learning and artificial intelligence to identify fraud faster.