Wednesday 27th June 2007
The government "hasnt got a grip" on credit card fraud as new rules mean consumers must report crime to their banks, rather than to the police, an MP suggests.
Conservative MP James Brokenshire has announced plans to take up the issue with the Home Office amid claims that the banks do not report fraud to the police soon enough for it to be effectively dealt with.
BBC Twos Newsnight recently claimed that the delay in reporting created by requesting banks to act as go-betweens with the police could be responsible for large-scale fraud campaigns becoming more widespread than is necessary.
In response, Mr Brokenshire argues that credit card fraud must be considered a priority if the scale of the problem is to be contained.
"With one in three people being the victim of credit card fraud, its essential that there is no reduction in reporting or any suggestion that this type of crime is being down-graded," he proposes.
"It is therefore astonishing that the Home Office seem perfectly happy to just rely on the banks to sort it all out - the government clearly hasnt got a grip."
He adds that although the changes - brought about by the 2006 Fraud Act - came into effect at the beginning of April, the Home Office made no effort to publicise the need for consumers to contact their banks if they suspect fraudulent activity has taken place on their accounts.
Meanwhile, new research from Capital One highlights the number of Britons at risk of falling victim to credit card fraud.
Figures published by the credit provider show that 90 per cent of respondents do not know the correct course of action if they suspect their identity has been stolen.
Young people were found to be most at risk, with 55 per cent of 18 to 24-year-olds stating that they do not take any precautions to specifically prevent identity theft.
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