APACS, the payment and clearing body, is urging resellers to sign up to Visa and MasterCard's security schemes in a bid to combat fraud.
Although total card fraud losses decreased by 13 per cent during the first half of this year, from £252.6m to £219.4m, card-not-present (CNP) fraud increased 29 per cent to £90.6m, according to APACS' annual mid-year card fraud figures.
APACS leading a fraud awareness campaign to promote the benefits of Verified by Visa and MasterCard SecureCode, which enable cardholders to authenticate themselves when shopping online.
"These systems make plastic cards safer to use online and are, therefore, a valuable aid in the fight against card fraud. Retailers should sign up to both schemes as it will reduce their liability if a fraudulent transaction occurs," said Bowerman.
Nathan Jackson, managing director of secure payment firm CyberSource, said: "Our research reveals that responsible online retailers are beginning to implement anti-fraud tools and effectively manage the problem. While websites are still a target, it is in fact the mail order/telephone order world that is being worst hit."
"The Visa and MasterCard schemes are great for online retailers because they can shift the liability for fraud away from the merchant. However, the actual number of cardholders who have enrolled in the schemes is still relatively low, so the banks will need to push harder in this area if the schemes are going to become more effective in actually preventing fraud in the first place," added Jackson.
Lee Bevan, managing director of reseller Leapfrog Computers, said: " Personally I don’t think the banks do enough to help prevent fraud. More responsibility needs to be put on the banks shoulders and I'd like to see the banks investing in finding a way to make online transactions secure."
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