Strong Together against Fraudsters

Strong Together against Fraudsters

Debit cards are and remain very secure. The previous payment options (e.g. at the sale terminal in shops) have an extremely low fraud rate thanks to the latest technologies. However, the topic of fraud is gaining more and more importance as a result of the increased use without a physical card (e-commerce, digital wallets). Rodolfo Bertassello, Head of Fraud Operations at Worldline, gives us some insights into the methods used by fraudsters and into successfully combating fraud.

What does “use without a physical card” mean?

It means that only the card data is used, but the physical card itself is not presented by the buyer. Examples include entering the data manually online or at a terminal in a store or sharing the data via telephone.

The best-known type of fraud in this context is phishing. What exactly does that mean?

Phishing refers to a method aimed at obtaining private information fraudulently. Usually, the fraudster sends an e-mail that appears to come from a respectable company such as a bank or card company. The sender asks to check information and warns that there will be serious consequences if these details are not provided. The e-mail may also contain a link to a fraudulent website that does not look suspicious. Other examples here include parcel notifications (“To be able to deliver your parcel…”) and fake competitions (“You have won…”).

Apart from phishing, what other types of attempted fraud are there?

One example is spear phishing. This method differs from phishing attacks in that individualized e-mails are sent to selected end users. To appear more convincing, the fraudsters carry out additional investigations into potential victims beforehand. There is also smishing (SMS phishing). With this method, SMS messages are used to try to persuade victims to disclose personal or confidential data.

What is behind such types of attempted fraud?

The term “dark net” refers to anonymous networks that represent a hidden part of the public Internet. Criminals – fraudsters – can interact anonymously here. By doing so, they try to avoid being detected by the police. Fraudsters buy and sell card data on the dark net and exchange information about how they commit fraud and which tools should be used to do so. This is a growing form of organized crime with its own business model and efficient division of labor.

How can cardholders effectively help avoid fraud attempts?

Card fraudsters have a marked preference for exploiting social media to obtain cardholders’ personal data. It is therefore crucial for cardholders to take basic security measures and exercise caution in dealing with personal data.

How can we ensure that we always stay a step ahead of the fraudsters?

Close interaction between technology and human expertise is at the heart of combating card misuse successfully. Thanks to modern, adaptive prevention systems and sophisticated rules, as well as the many years of experience accumulated by fraud analysts and technical experts, these types of fraud can be greatly reduced. As a result of payment service providers’ sound networks and coordinated action with authorities such as Europol and Interpol, we regularly succeed in stopping international gangs, raiding marketplaces on the dark net, and arresting criminals. Prevention offers the best protection against fraud. Worldline and SIX have been working closely with the police for years. Together with card issuers, they operate the prevention platform, which informs cardholders and the public about the topic of card security via various channels and highlights efficient card fraud prevention.