Cardholders at risk of festive fraud

Thursday, 11 December 2008 07:00

Bars and restaurants are putting 17 million Brits at risk of fraud by failing to take security precautions with credit and debit cards.

According to a study from life assistance company CPP, nearly three quarters of restaurant and bar patrons have reported staff taking credit and debit cards out of sight, almost a half being placed within access of colleagues and over a third even placing cards in view and easy reach of other customers.

With half of the UK planning to pay for Christmas celebrations by card this year and the average card having up to £1,200 in credit or debit available, the potential cost of festive fraud is significant.

Danny Harrison, card fraud expert at CPP, said: "It's at this time of year when we're out celebrating that it's natural to let our guard down.

"Cardholder-not-present and counterfeit fraud is a growing problem in the UK, costing £250 million in January to June - up 19 per cent from the same time last year, so customers really need to be careful with their cards and think twice before handing them over."

As a result, 90 per cent of cardholders are calling for a law against bar and restaurant staff taking cards out of consumer's sight to process payments, or run a tab.

In addition, 75 per cent also called for establishments to sign up to a code of conduct that would ensure regulation and protect consumers' card details.

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