23 October 2007
Research from Retail Decisions (ReD) shows that there has been a 131% increase in online credit card fraud over the past year.
The security firm's findings, reported in the Daily Telegraph, show that the rise in fraud has partially been driven by a big increase in the amount of goods which are now purchased online by UK card-holders.
A year-on-year increase of 88% has been detected in online shopping levels by ReD.
Online card fraud generally stems from use of stolen card records to generate fake customer details - which are then in turn used online to purchase consumer goods.
Carl Clump, Chief Executive of ReD, pointed out that internet purchases reflected the fraudster's traditional taste for high-end electronic goods.
"The iPhone [is] one of the must-have products for this Christmas and at ReD, our risk analysts will monitor purchasing patterns of this item with an extra level of vigilance," he said.
"Other current popular targets on the top of fraudsters' shopping list we are seeing at the moment are gift cards, the LG Shine mobile, Nintendo DS Lite Consoles and the Apple iPod video."
ReD, which helps large retailers such as Tesco and Asda root out fraudsters, said that the big rise in online criminal activity is partially due to 2005's introduction of Chip and PIN in shops across the UK.
With the new technology significantly cutting back on theives' card fraud opportunities, many have turned to the internet.
© 2008 Adfero Ltd
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