Apple Pay Fraud Transaction Level Reaches Six Percent
Has fraud come to Apple Pay service? Experts think it has, and Apple Pay fraud transaction is not something mysterious and fantastic. This is the reality. According to reports, about six percent of all Pay transactions are fraudulent.
Who is to be blamed for Apple Pay fraud risk? The iOS giant isn’t responsible for everything, right? There are underlying issues at the U.S. banks and Apple Pay fraud protection is something they should also help with.
The iPhone 6 creator also already done much to secure your transactions. It encrypts data on the smartphone, doesn’t share it with cloud or retailers, uses one-time code for each transaction and fingerprints to make sure that a stolen gadget will not participate in making purchases with a stolen credit card data.
The 6 percent of fraudulent transactions made via the new mobile payment system released by Apple is about 0.1 percent of traditional ‘plastic’ purchases. The figures have been shared by payment expert Cherian Abraham who assures that the problem is ‘growing like a weed’ while everyone had hopes that the service would be the most secure method to pay with a mobile device.
How can the banks solve the issue with Apple Pay fraud risk and transactions? As expert notes, fraudsters get their hands on stolen credit card information [they can often just purchase such data online] and easily add the card that doesn’t belong to them to Apple Pay because this procedure is fast and simple. Once authentication is successful, they can pay for goods till the credit card is canceled. Sadly, U.S. banks also try to simplify the process and don’t authorize the information and the credit card.
According to analysts, if banks took time to match the information on the credit card and iPhone owner, it could secure the transactions and minimize the amount of frauds.