Press Release

First-Party Credit Card Fraud Rises With Unemployment: What Banks and Issuers Need to Know

June 21st, 2012

An error at a Bank of America ATM allowed a man to fraudulently withdraw $1.5 million before he was caught. As the worldwide economy remains in an extended period of recession, threats from first-party credit card fraud and other related issues will keep banks on their toes. Staying ahead of the trends in this market will be essential to banks and businesses that wish to remain competitive and reduce the threat of loss due to fraud. With premium market research from the worlds leading publishers, Global Information Inc. helps these businesses stay on the cutting edge with the best forecasts, trends research, and analyses.

First-Party Credit Card Fraud: Trends, Analytics, and Prevention Strategies

First-party fraud is a scheme where borrowers apply for and use credit, while having no intent of ever paying off incurred debt. Historically, this fraud has been difficult for credit card issuers to identify specifically as intentional theft, and thus most lenders simply write it off as bad debt. Recently, however, the payment industry and its vendors have been intensifying efforts to combat first-party fraud, especially as the criminal underworld exploits vulnerabilities in the banking system. Issuers are incorporating advanced fraud prevention technologies to identify criminal activity rings, expunge bad accounts, and bring stronger attention and insight onto cases of potential first-party fraud.

Mercator Advisory Groups new report, First-Party Credit Card Fraud: Trends, Analytics, and Prevention Strategies, reviews current market statistics on first-party fraud from a number of industry and national reporting agencies. The report also presents credit quality data and discusses the type of environment that fosters first-party fraud.

Also included is Mercator Advisory Groups estimate of the scope of the first-party credit card fraud problem in the United States. The report describes strategies and solutions, along with analytical tools for managing first-party fraud and some of the broader market implications associated with first-party fraud and banks tactics when dealing with it.

An Executive Summary for this report and free sample pages from the full document are available at

Banking 2.0: Innovation, Disruption, and the Better Idea

In addition to dealing with classic threats from first-party fraud, financial institutions must come to terms with innovations and changing customer attitudes due to technological innovation. Banking is no longer a passive art, but is instead being transformed into an interactive, real-time relationship. In their new market research report, Banking 2.0: Innovation, Disruption, and the Better Idea, Mercator Advisory Group examines the next generation of retail banking deposit-based products.

This report considers the changes occurring in retail banking services through the prism of existing direct banks and new market entrants that are building consumer-centric services on cutting-edge platforms. Findings from interviews with leaders in three of these new Banking 2.0 solutions illustrate the extent to which these companies are investing in their vision of what the next generation of financial services should look like.

An Executive Summary of this analysis and a free sample of the full report are available at

A Big Data Primer for Payments Risk Professionals

While no longer considered a new phenomenon, "big data" is a computing trend that should not be ignored by banks and payments services firms. Exploration of the potential applications of big data frameworks and processes in managing payments products and transactional risk will ramp up over the next few years. Forming cogent big data strategies in payments risk management will require an understanding of the frameworks and systems involved.

This low-cost is a Mercator Advisory Group Note is available for one-off purchase. More details are available at

Surcharge-Free ATMs and Shared Branching Networks

As customers evaluate their relationships with their financial institutions and consider alternate banking methods, many are discovering the value of surcharge-free ATMs and shared branching networks.

This low-cost is a Mercator Advisory Group Note is available for one-off purchase. More details are available at

About Global Information, Inc.

Global Information (GII) ( is an information service company partnering with over 400 research companies around the world. Global Information has been in the business of distributing technical and market research for more than 25 years. Expanded from its original headquarters in Japan, Global Information now has offices in Korea, Taiwan, Singapore, Europe and the United States.