Contactless fraud is on the rise and is now outstripping cheque fraud, with £5.6m being lost in the first half of 2017 alone compared to £5.3m connected with fraudulent cheques.
This has come to light in view of the desire for the contactless limit to be increased from £30 to £50, with Banks being warned that increasing the limit will simply increase the amount lost to criminals fraudulently stripping customer’s accounts.
Contactless card crooks are cashing in thanks to the ‘double tap‘ that allows fraudsters to break the £30 limit.
The Bank of England’s chief cashier, Victoria Cleland, said she does not have contactless cards. She spoke of friends who have fallen victim to this fraud, saying that she personally does not feel safe or convinced in personally using them.
Illegal software is available online to download on to mobile phones to remotely read card details simply by walking around in busy areas such as streets and shopping centres.
Other methods of contactless payment include using smartphones, mobile phone apps, key fobs and wearable devices including watches and wristbands.
You are recommended to keep all receipts, frequently check your bank statements and account online via an app and keep tabs on your credit report to spot any fraudulent activity.
Whilst Banks have reassured customers that they are protected from fraud if they fall victim, I am not reassured that this is a foolproof payment method when the chief cashier of the Bank of England clearly isn’t and refuses to use it. This type of fraud will only increase in years to come as cash falls out of favour as a preferred payment method.
Have you been affected by contactless fraud? What are your thoughts on this?