Card-not-present fraud to make up 73% of card payment fraud

For more insights and key statistics on the biggest trends in today’s most disruptive industries, subscribe to our Chart of the Day newsletter.

This year, card-not-present (CNP) fraud will account for $9.49 billion in loss, up 8.5% over last year, according to our data. CNP will make up 73.0% of card payment fraud loss this year, up from 57.0% in 2019.

Beyond the chart: CNP fraud loss has increased in line with ecommerce growth, we forecast. US retail ecommerce sales grew by 36.4% in 2020, the same year CNP fraud loss increased by 31.2%. Both areas will normalize over the next few years.

Because CNP has taken over as the leading form of credit card fraud, merchants and issuers should focus on allocating resources to tighten up security for these channels.

More like this:

• Report: Spotlight: US Card Payment Fraud Losses Forecast 2022
• Article: Sanctions, money laundering, and tech regulations top the list of concerns for financial executives in 2023
• Article: Visa and Mastercard’s UPI ambitions could shake up India’s payments market

Methodology: Estimates are based on the analysis of data from the US Department of Commerce and the Federal Reserve, estimates from other research firms, reported company revenues, historical trends, consumer buying trends, and macro-level economic conditions.

Read yesterday’s Chart of the Day here.