THERE has been a massive increase in online credit card fraud, with transactions made using stolen card details hitting $417.6 million in 2016 more than doubling since 2011.
Industry body Australian Payments Network has revealed that transactions made using stolen credit card details accounted for 78 per cent of more than $530 million in total netted by fraudsters last year.
The 2016 Australian Payments Fraud Data Report also found a 13 per cent increase in card skimming fraud, executed through "ghost terminals," false terminals made to look like real card readers that are not connected to the payments network.
For every $1000 spent on credit cards, fraud accounted for 74.7 cents, up from 66.9 cents in 2015 and 43.8 cents in 2012.
Australian Payments Network chief executive officer Leila Fourie said the figures showed just how quickly perpetrators had followed Australian consumers to online platforms, where spending is now growing five times faster than traditional retail spending.
"As Australia transitions towards even higher levels of online payments, customers and merchants need to increase security awareness," she said, adding that Australia compared favourably to Britain and US.
"Australia is well-advanced in fraud prevention technology, thanks to the industry's leading investment in [chip technology>[/embedp>