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US retailers warned over 'low-hanging fruit fraud threat'

Rachel Wheeler Archive
Fraudsters are constantly on the lookout for ways to target retail customers, according to a leading security expert.

Whether by taking advantage of poor security controls at retailers or intercepting returned mail, most criminals target "low-hanging fruit", according to JAS Global Advisors founder Jeff Schmidt.

Speaking to Internet Retailer, he noted that there is a particular risk of succumbing to an "insider threat" during the holiday season "when someone might be short on cash and everyone is distracted with the rush of business".

An important warning for retailers and consumers is to be vigilant about making personal information public. "Criminals aren't looking for a challenge," Mr Schmidt added.

Recent research by LexiNexis forecast fraud rates and data breaches to increase next year across the retail sector.

The survey indicates that fraud techniques are evolving as retailers enter more markets, while the length of time it takes to resolve fraud issues is growing.

Posted by Paul Newton