The risk of payment card fraud is real, driven by the momentum of eCommerce and its cashless consumerism, reliant on payment cards to perform so many transactions. However, the incidence of payment card fraud is expected to change.
In 2009 a hacker embedded malware on the point-of-sale (PoS) equipment at a Seattle eatery known as the Broadway Grill. According to news reports, every credit card number swiped at the restaurant between December 1, 2009, and October 22, 2010 – more than 32,000 unique credit card numbers – were simply saved to a text file stored on the restaurant’s computer. The hacker then placed the stolen card numbers on “carding” websites and forums, where they sold for $20 to $30 with a “95 percent chance of validity.” Those with a “65 percent chance of validity” sold for $7.
In late 2016, the hacker, Roman Seleznev – alias “Track2,” was found guilty of 38 counts relating to fraud and theft and awaits sentencing.