Lost/Stolen Fraud

This type of fraud occurs when your debit or credit card
is physically stolen or lost and then used by a criminal, posing as you.

Lost and stolen cards could be used in shops that do not have chip and PIN
equipment, or to commit fraud via a telephone, internet or mail order transaction.

The cost of lost and stolen fraud

Thanks to the introduction of chip and PIN this fraud type is now at its lowest level since the industry collation of fraud losses began in 1991.

As well as the proven security benefits of chip and PIN, the banking industry
has a number of other initiatives in place to tackle this type of fraud:

• Intelligent computer systems that card companies use to monitor
  customer accounts for unusual spending patterns.
• An Industry Hot Card File enables retailers to check electronically
  whether a card has been reported lost or stolen.

Lost and stolen fraud losses on UK-issued cards 1999-2011

Smaller figures show percentage change on previous year’ s total