In the wake of a concerning new study by Javelin Strategy & Research, vendors may need to step up their merchant fraud prevention solutions if they wish to keep consumers safe and business strong.
The Javelin research found that identity theft rates are climbing, with 2012 seeing 12.6 million victims and more than $21 billion in stolen funds. The numbers have been steadily rising since 2010. Javelin emphasized that merchant fraud prevention strategies are essential to bringing incident rates back down on the service providers’ end, and that individuals who receive letters regarding data loss take the warnings seriously.
Overall, one in four recipients of data breach notifications became a victim of identity theft in 2012. Additionally, the study found that identity fraud has a significant negative impact on small online merchants, as 15 percent of victimized individuals stopped using these establishments in response to the breach.
Among the ways vendors may be able to ward off identity thieves is taking care to follow PCI security compliance requirements. According to one Websense report, data loss prevention is an essential component of these standards, and a focus on these practices can lead to fewer leaks of confidential information.Back To Blog