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Q: Credit Card Fraud statistics for 2005 ( No Answer,   3 Comments )
Question  
Subject: Credit Card Fraud statistics for 2005
Category: Business and Money > eCommerce
Asked by: iwa93stt-ga
List Price: $60.00
Posted: 26 Jan 2006 15:01 PST
Expires: 25 Feb 2006 15:01 PST
Question ID: 438070
What is the total dollar (Cdn$) value of credit card transactions
conducted in the USA and Canada where the Card was not present (CNP)
in 2005 and what percentage of these were fraudulent?

Global Insight has several reports that may contain some of this
information.  I am only interested in VISA and Mastercard information.
 The various VISA and Mastercard associations may also have this
information.  CNP could be on-line payments or payments over the phone
but really any type where the physical card is not present.  Your
answer should look something like:

Canada
Total VISA CNP $x,xxx millions
Total Mastercard CNP $x,xxx millions
Fraud xx.xx%

US
Total VISA CNP $x,xxx millions
Total Mastercard CNP $x,xxx millions
Fraud xx.xx%
Answer  
There is no answer at this time.

Comments  
Subject: Re: Credit Card Fraud statistics for 2005
From: antontodorov-ga on 31 Jan 2006 04:48 PST
 
CANADA:

In an October 2004 report by CANADIAN BANKERS ASSOCIATION, the
following information relevant to your question is provided:

Number of Cards in Circulation (Millions) 		53,4 
Net Retail Volume (Billions)				$168,78
Net Dollar Volume (Billions)				$192,17
Gross Sales Slips Processed (Millions)			1 664,8 
Average Sale					       $104,00
%Delinquency90 days & over			        0,8%
!!!!!!!!!! # of Cards Reported Lost or  Stolen	 		    1 070 547 
!!!!!!!!!! Number of Cards Fraudulently used 			    177 081 
!!!!!!!!!! $ Amount of Fraudulent Accounts written off (Millions)   $163,18
Merchant Outlets					1 128 410 
VISA/MCI Principal Issuers				23

PRINCIPAL VISA AND MASTERCARD ISSUERS:
VISA
Bank of America, Bank of Nova Scotia, Caisses Populaires Desjardins,
CIBC, Citizens Bank of Canada, Home Trust, Laurentian Bank, Royal
Bank, TD Bank, US Bank, Vancouver City Savings Credit Union.

MCI
Alberta Treasury Branches, Bank of Montreal,  Canadian Tire Acceptance
Ltd, Capital One, Citibank Canada, Credit Union Electronic Transaction
Services Inc., G.E. Capital Corp., MBNA Canada.
----
For further information visit the following link:
http://www.cba.ca/en/content/stats/050210-Credit%20cards-EN.xls

***********************
USA

More than one in three of the 686,000 consumer complaints filed with
the FTC and other agencies last year concerned identity theft.

The number of identity theft complaints rose from 215,177 in 2003 to
246,847 in 2004 to 255,565 in 2005. That's an increase of almost 19
percent in two years. Stolen identities were most often used in credit
card fraud (26 percent), split almost evenly between setting up a new
account or raiding an existing account. Other big uses are to commit
phone or utilities fraud (18 percent) or bank fraud (17 percent).


In 2003, Canadian financial institutions reimbursed about $44 million
to customers after scams compromised 27,000 bank cards. The following
year, however, total reimbursements jumped to $60.2 million affecting
some 48,900 cards.

There are about 35 million debit cards in circulation in Canada, in
addition to 53.4 million credit cards issued by Visa and MasterCard,
according to the Canadian Bankers Association.  In 2004 Visa and
MasterCard wrote off $163.1 million in fraudulent accounts, up from
$138.6 million the year before (2003)


--- 
I will keep looking for the US data and put it online shortly
Bests
Subject: Re: Credit Card Fraud statistics for 2005
From: antontodorov-ga on 31 Jan 2006 05:54 PST
 
Hi
it is me again
I did not manage to find updated credit card specific fraud losses
data for the USA.
---
Yet:
According to the Consumer Fraud & Identity Theft complaint data... 
Federal Trade Commission Released January 25, 2006,

Between January and December 2005, Consumer Sentinel, the complaint
database developed and maintained by the FTC, received over 685,000
consumer fraud and identity theft complaints. Consumers reported
losses from fraud of more
than $680 million. The reports in the below mentioned booklet analyze those
complaints. Credit card fraud (26%) was the most common form of
reported identity theft. ID theft amounted to 37% of all fraud-related
complaints.
http://www.consumer.gov/sentinel/pubs/Top10Fraud2005.pdf
---
The following report http://www.gao.gov/cgi-bin/getrpt?GAO-02-363
provides MasterCard and Visa Fraud Losses by Calendar Years . The
problem is - it is too old to be of any use. Unless you decide to
calculate the average rate of increase as per the FTC report...
***

Hope this works for you

Best Regards
Subject: Re: Credit Card Fraud statistics for 2005
From: antontodorov-ga on 31 Jan 2006 06:02 PST
 
BTW, Global Insight has not published any data on MCI or Visa  for the
past year. The Information Systems Security Association reported that
Visa and MasterCard issuers lost $820 million in 2003 to phishing.
That number "will increase for 2004".

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