Interac Association reported today that Interac debit card fraud losses as a result of skimming have reached a record low: decreasing to $29.5 million in 2013 from a high of $142 million in 2009.
Only 25% of losses in 2013, or $7.3 million, are the result of fraud exploitation within Canada, while total losses in 2013 represent 0.0093% of domestic Interac debit card volume.
“The combination of sound policies, investments in technology–such as chip and fraud detection—and outstanding collaboration with financial institutions, acquirers, merchants and law enforcement makes the Interac system a world-class payment network,” says Caroline Hubberstey, Head of External Affairs for Interac Association and Acxsys Corporation.
According to Interac, criminals are increasingly migrating their payment card fraud activity to international exploitation in non-chip environments and card-not-present (i.e., internet and telephone) exploitation on credit cards and other networks’ debit products.
“The statistics clearly show that we are having solid success locking down the Canadian payments space to stop criminals committing Interac debit card fraud,” noted Hubberstey. “We’re delivering a strong message: the Interac system is not a place for criminals to do business.”
As of the end of January 2014, 95% of point-of-sale terminals had been converted to chip technology in Canada. All POS terminals are to be converted by the end of 2015.