Loss from Internet Banking Fraud up 14% in 2009

UK Cards Association released statistics during the second week of March 2010, which reveal that although losses from card fraud declined in general in 2009, the total lost on account of Internet banking fraud grew 14%.

Also, according to the Association, scammers, especially phishers, are increasingly attacking accountholders of various banks via phishing e-mails. They are distributing more-and-more malware to infect consumers' PCs. These malware programs infect the systems without the knowledge of their owners at the time they open attachments or Web-links embedded on malicious e-mails. Often, the installed malware compromises the target computers.

Consequently, losses from Internet banking summed up to nearly 60 Million Pounds during 2009 against 52.5 Million Pounds and 23.2 Million Pounds during 2008 and 2005 respectively.

Remarking about the swelling cyber-attacks, Spokesman for UK Cards Association stated that scammers are targeting the chain's most vulnerable link, the banking consumers. While banks would never ever send e-mail to their customers enquiring their bank information, yet people continue to become fall in the trap of these scams, the Spokesman added, as published by Guardian.co.uk published on March 10, 2010.

Additionally, CEO Mel Morris of Prevx, a security firm, too commented about the problem that the availability of banking fraud online toolkits fuelled the growth of Internet fraud, as per the news published by PC Advisor on March 10, 2010.

The CEO elucidated that by using the toolkits, cyber miscreants can attack computers situated at any place in the world, and plant strong data stealing trojans on them. These trojans can record anything and everything displayed or entered by any user surfing the Web , Morris added.
Besides, owing to the escalating cyber-attacks, the financial sector has advised the possible measures that customers should adopt to avoid being a victim of such hoaxes.

According to an accountancy firm Deloitte's Partner, Stephen Ley, , specific customer records available with banks will be the chief factor for fraud mitigation in 2011. An aware consumer has grim chances of falling victim to phishing scams, he added, according to the statement published by BBC News on March 10, 2010.

Ley added that end-users must safeguard themselves by using systems with appropriate security software and, must remain vigilant.

Related article: Loss from Fake E-commerce Orders to Reach $3.6 Billion in ‘07

» SPAMfighter News - 3/18/2010