Weekly Summary
docx
keyboard_arrow_up
School
Mississippi College *
*We aren’t endorsed by this school
Course
640
Subject
Information Systems
Date
Apr 3, 2024
Type
docx
Pages
4
Uploaded by mmakol
Running Head: Weekly summary 5
UNIVERSITY OF THE POTOMAC
DACS640:7: Online Data Integration, Warehousing, Provenance, and Analysis
Dr. Daryl R. Brydie
Megha Makol
Weekly Summary 5
Introduction
I've been doing a lot of research on credit card fraud statistics and how these scams work. In this
paper, I will go over some of the facts and research findings. To begin, there are at least six ways
your information can be misused in the name of credit card fraud.
Card-not-present (CNP) fraud:
Card-not-present fraud occurs when someone uses your credit
card information but not your actual card to make an unauthorized purchase online, by phone, or
by mail order.
Identity Theft: Identity theft occurs when someone uses your personal information to commit
fraud or other crimes, such as your Social Security number or credit card number. Nearly 1.4
million reports of identity theft were received by the Federal Trade Commission in 2021.
Skimming:
Skimming occurs when criminals illegally place devices on ATMs, POS terminals,
or gas pumps to steal data such as card numbers and PINs. Crooks can use this information to
create bogus credit or debit cards. Annual financial losses from skimming are estimated to be
more than $1 billion.
Phishing: Through emails or text messages, fraudsters can steal your information, such as
passwords or account numbers, using phishing. Criminals will then be able to access your credit
card, bank, and email accounts. They may also sell your information to other criminals.
Account Takeover
: Account takeover occurs when a cybercriminal uses a stolen username or
password to gain access to another person's online account. In general, thieves purchase
usernames and passwords on the so-called "dark web."
Lost/ Stolen Cards:
If you lose or steal your credit card, someone else may use it to make
unauthorized purchases. You should notify the card issuer as soon as possible if your card is lost
or stolen.
Weekly Summary 5
According to the FTC, credit card fraud was the second most common type of identity theft in
the United States in 2021, trailing only fraud involving government benefits or documents.
Card issuers, merchants, payment processors, and ATM transaction processors frequently bear
financial losses because of credit card fraud. According to the Nilson Report, card issuers will
bear 65.4 percent of the losses in 2020, with merchants, ATM acquirers, and merchant acquirers
accounting for the remaining 34.6 percent. ATM and merchant transactions are processed by
acquirers. (Egan,2023)
Key Findings:
In 2022, there were 1.108 million reports of identity theft. From January to September
2023, 805,000 cases of identity theft were reported.
With 440,666 reports, credit card fraud was the most common type of identity theft in
2022. In the first three quarters of 2023, 318,087 credit card fraud reports were filed.
The fastest growing type of identity theft is synthetic fraud. In the first half of 2023, the
auto lending industry lost $1.8 billion due to synthetic fraud. Synthetic fraud is most
prevalent in the retail and video game industries.
In the auto lending industry, synthetic fraud is on the rise.
Georgia, Louisiana, and Florida were the top three states for per capita identity theft in
2022.
Government document or benefit fraud decreased by 85% in 2022 compared to 2021,
with 57,912 reports filed versus 396,025 in 2021.
In 2022, there were 1,802 data breaches, a 3% decrease from the all-time high of 2021.
Data breaches affected over 422 million people in 2022, a 44% increase from 2021.
(Caporal,2023)
Your preview ends here
Eager to read complete document? Join bartleby learn and gain access to the full version
- Access to all documents
- Unlimited textbook solutions
- 24/7 expert homework help
Weekly Summary 5
Reference:
1.
Caporal, Jack. “Identity Theft and Credit Card Fraud Statistics for 2023.” The Motley
Fool
, 20 Nov. 2023, www.fool.com/the-ascent/research/identity-theft-credit-card-fraud-
statistics.
2.
Egan, John. “Credit Card Fraud Statistics.”
Bankrate
, 12 Jan. 2023,
www.bankrate.com/finance/credit-cards/credit-card-fraud-statistics/#fraud.