Report: Debit-Card Fraud in Canada Hits Record Low, Fraud Moving to CNP and Across Border
March 2, 2015
In what many in the U.S. hope is a foreshadowing of what will happen after the introduction of EMV, debit-card fraud in Canada fell to its lowest point ever, according to Interac, the Canadian debit-processing network. Fraud losses due to skimming fell to $16.2 million in 2014, down from $29.5 million the year before and from $142.3 million in 2009—the year the migration to the EMV standard began in Canada. Interac said payment-card fraud in Canada is migrating to “international exploitation in non-chip environments” (i.e., the U.S.) and to credit-card fraud perpetrated through card-not-present channels.
“As our fraud numbers show, we have a steady decline of Interac debit-card-fraud losses since the introduction of chip and PIN technology in 2009,” said Mark Sullivan, head of Fraud Risk Programs for Interac Association and Acxsys Corporation. “These investments in technology, along with our policies, sophisticated fraud-prevention and detection efforts, and partnerships, have had a tremendously positive impact on the decline of Interac debit card fraud in Canada.”
The numbers were released as part of a study that polled consumers on their top payment-card fraud concerns. Old worries die hard, however, as 48 percent of Canadians named skimming as their top concern. Forty-five percent were most worried about retail data breaches and only 38 percent named online shopping as their top concern.