According to an article and conference held in Cairo a Visa representative gave some new light into the costs related to fraud for businesses in the payment industry.
““It is estimated that each individual case of fraud costs an organization $15,000 on average,” said Elhousseiny. “
Now we don’t know what is included in this figure, but it is likely to be a far better number then the speculative numbers posted by pundits like myself and others.
Lesson remains – be PCI compliant, have true security, and be mindful of your customers data – without them you will go bankrupt.
Update: selenakyle provided some interesting clarification / challenges:
- Is this figure associated with compromised Merchants?
- Is this the average cost of a single Fraud / Fraud-Ring / by Consumer account?
- Are these figures solely for AIS or the region in total?
James DeLuccia IV