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Online credit card fraud totaled NT$706 million in 2015

Online credit card fraud totaled NT$706 million in 2015

Online credit card fraud has risen 10-fold in Taiwan over the past six years as e-commerce continues to carve out a greater share of domestic retail sales, according to statistics of the National Credit Card Center of R.O.C. (NCCC).

Credit card fraud caused losses of NT$820.29 million in 2015, and NT$706 million (US$21.61 million) of that, or 86.7 percent, was online credit card fraud, the NCCC said.

That was nearly 10 times more than the NT$73.33 million in losses caused by credit card fraud in 2010.

Credit card fraud is not a problem unique to Taiwan, especially as online transactions grown in popularity around the world, but consumers here still should not sacrifice security for the sake of speed and convenience, said NCCC general manager Lin Tung-liang.

Even if they want to make online transactions quickly, consumers must not ignore the online verification process to limit transaction risk, Lin said.

Taiwan's e-commerce market had sales of NT$1.07 trillion in 2015, more than double the NT$461.9 billion in sales recorded in 2010, according to data compiled by the Institute for Information Industry (III), a government-sponsored think tank.

The business to customer (B2C) e-commerce market had revenues of NT$613.8 billion, or 60.96 percent of the total, in 2015, while the customer to customer (C2C) market was worth NT$393.1 billion, according to III data.

Credit card organizations are developing token service technology. Through that data security process, customers' sensitive data will be substituted with non-sensitive equivalents called tokens, that have no extrinsic or exploitable meaning or value.

This will greatly reduce the possibility of credit card fraud, Lin said.

Updated : 2021-08-02 13:26 GMT+08:00