Losses from online fraud decline

CyberSource commissioned Mindwave Research to survey 333 merchants in North America in October, reporting that retailers? losses from online fraud have declined over the years as a percent of overall online retail from 3.6% in 2000 to 1.7% this year. For 2002 the fraud level was at 2.9%, for 2001 at 3.2%.

Best practices for avoiding online fraud include Address Verification Service, manual review of orders, internal business rules, CV number, commercial scoring service and Verified by Visa program.

Verisign’s study: security incidents almost doubled between May 2003 and August 2003

Internet use is still growing fast but so is Internet-based fraud, according to security vendor Verisign Inc, which examined data from its own infrastructure services between August 2002 and August 2003.

According to Verisign’s study “Internet Security Intelligence Briefing,” released Monday, 6.2 percent of e-commerce transactions carried out in the U.S. were attempts at fraud. More than half the fraud attempts were made by entities outside the U.S., Verisign said.
Also, the number of security incidents almost doubled between May 2003 and August 2003, Verisign said.

Standard security attacks and fraud are closely linked, according to Verisign.