Card-not-present fraud leads other types of payment fraud in countries that have migrated to the EMV standard. That is according to U.S. Payments Forum, a nonprofit organization that includes global payments networks, financial institutions, merchants, processors, and other industry participants.<\/p>\n
There are at least two reasons for this. First is the growing popularity of ecommerce. Second is that companies \u2014 networks, institutions, merchants \u2014 can be slow to adopt the right combination of fraud tools to adequately protect all parties.<\/p>\n
CNP fraud prevention requires a layered approach. Static verifications systems alone do not pass muster, as bad actors are quick to find ways to steal, hack, or spoof. While traditional, static tools require the user to submit information \u2014 such as addresses and other unique data \u2014 they do\u00a0not prove that the user actually has any association to it.<\/p>\n
Merchants have traditionally relied on verification tools that are quickly and continuously being outsmarted by crooks. When used alone, these tools fail to adequately deter fraud.<\/p>\n