Some good news for retailers is that debit and credit card fraud is falling. The bad news though is that this fall is being offset by an increase in online fraud.
Debit and credit card fraud fell 28% to £440.3m in 2009. This is the first time card fraud has fallen since 2006. The widespread use of chip and PIN has no doubt played a key role in this shift.
However, a report from the UK Cards Association ahows that online banking fraud rose 14% over the same period, with losses totalling £59.7m.
The increase in online fraud was largely blamed on criminals using more sophisticated fraud methods, such as 'phishing'. This is where fraudsters use fake websites and e-mails that imitate legitimate companies in order to trick people into handing over their personal details.
There were more than 51,000 phishing incidents recorded during 2009 a 16% increase on the amount seen in 2008.
Fraudsters are also using new technologies such as spyware or malware to infiltrate personal computers to steal identities.
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UK Cards Association