Why B2C Payment Systems Can’t Handle Visa, MasterCard Errors
The B2B payment system industry is facing a wave of fraud, and some payment companies are making it harder for the system to handle the fraud.
In a blog post, B2Cs said that in its latest survey, Visa, PayPal, and other major payment services said that fraud rates on their payment systems rose to 8.5% in 2018, from 7.3% in 2017.
“Our survey shows that the B2-C payment systems industry is not only facing fraud but is also getting more complicated,” the B 2C Payment System Association said in the blog post.
“In fact, we estimate that payment fraud is rising by 8.4% on a yearly basis.”
The association cited the recent case of an Ohio man who had his credit card stolen after trying to withdraw funds from the same B2 C payments system that the man was using.
Visa said the theft was not related to the theft of the card.
PayPal and others said they are seeing a rise in the number of frauds that have been reported on their systems in the past year.
“We have seen some new, significant frauds,” PayPal said in a statement.
“These include unauthorized card purchases, payments made to unauthorized third parties, and card fraud.”
A spokeswoman for MasterCard said the company has seen a steady increase in card fraud since the end of 2018.
In 2018, the company said it reported 1,074,000 frauds, which the company attributed to “a variety of factors including increased fraud alerts and notifications, as well as heightened reporting and response times.”
In its blog post about the survey, B 2Cs said it does not believe there is an “overall increase in fraud” on its payment system.
“The only possible explanation is that fraud has increased in the last several years as the technology to process and track credit card transactions has become more robust,” the blog said.
In its statement, Visa said it has seen an increase in credit card fraud in the United States in 2018.
“Visa continues to be the leading payment system for credit card purchases in the U.S. and has seen positive improvements in fraud detection, fraud prevention and detection and prevention efforts,” Visa said.
“Credit card fraud is a very real and growing threat to our consumers, and we continue to invest in technology to help prevent and detect fraud.
As a result, the fraud rate on our system has declined over the last few years, as has the fraud detection rate.”
PayPal said it saw a decrease in fraud in 2018 compared to 2017.
It said that its fraud detection efforts have also increased in 2017 and the first quarter of 2018, and it is making progress in reducing fraud.
PayPal said that it has been increasing the number and frequency of notifications to consumers of fraud on its systems and in its online store, as it works to prevent fraudulent activity.
“Over the last two years, PayPal has seen more and more fraud and fraudulent activity being reported to our fraud monitoring systems, as fraudsters have been targeting our payment system to take advantage of the low fraud detection and detection rate,” PayPal’s statement said.
A spokesperson for Mastercard said that “as we have noted in the press, our payment fraud rate has increased as more and less people are using the systems.”
“In response to the increased fraud and fraud detection activity, Mastercard has begun working with its payment processors to improve fraud detection,” the statement said, adding that the company’s fraud detection team is focused on detecting fraud more aggressively and will continue to do so.
“For the time being, we will not be releasing any additional data on this issue as the situation is evolving,” the spokesperson said.
Visa and Mastercard are part of the B IIC Payments Association, which represents the payment system companies.
In January, B IICs said the industry has witnessed a “marked increase in fraudulent activity.”
In a statement to Fortune, the association said that the recent rise in frauds is “an important indicator” that fraud is on the rise.
“As more and More merchants have taken advantage of these low fraud rates, the number is on our radar for further increases.
In response to this increased fraud activity, we are implementing a number of additional measures to better protect our users, including improving our fraud detection systems, enhancing our reporting and notification process and improving our response time to fraud,” the association wrote.
The B 2 C Payment Association said it is monitoring the situation on the B-2C payment system and will report on any trends.
B2c Payment Systems Association has a list of recommendations for the payment industry that are focused on improving fraud detection.
Among other things, the group recommends that banks, credit unions and other businesses, including restaurants and bars, should use the same payment system used by credit cards, debit cards, and prepaid cards to process all payments on the payment card side.
“B2C Payments, along with our industry peers, must make better use of