Tap-and-go credit cards contributing to increase in crime stats, Victoria Police says

Updated

Tap-and-go credit cards are one of the main factors behind a 5 per cent increase in Victorian crime rates, according to the latest statistics released by police.

Victoria Police Chief Commissioner Ken Lay said the number of deceptions - including when thieves fraudulently used other people's credit cards - had increased by 11,600 and impacted on overall crime rates.

But credit card company MasterCard has disputed this, saying industry data shows there has been no increase in fraud as a result of tap-and-go technology.

The figures released by Victoria Police compare the 12 months to March 2014 with those from the previous year.

"One of the main drivers over the last little while have been deceptions and these tap-and-go [credit] cards," Mr Lay said.

"We're seeing many, many theft of motor cars, handbags and burglaries where people are looking for these cards, are getting hold of them and within hours of getting them, they're going into stores and using them.

Victorian crime statistics Overall crime - up 5 per cent

Drug offences - up 15.5 per cent

Crime against the person - up 0.7 per cent

Robbery - down 12.7 per cent

Assault (excluding family violence) - down 2.5 per cent

Theft from motor vehicle - up 3.4 per cent



View the official crime statistics in your area

"So you're getting this flow-on effect... mainly because of these types of offences."

Speaking on 774 ABC Melbourne, he said police were not consulted before tap-and-go credit cards were introduced and that he regretted their introduction.

"They are chewing up an enormous amount of police resources. The banks build in a margin where they absorb the cost of the theft... but this is just another sign of some of the changing offending that we're facing."

However, Mr Lay did admit he used a tap-and-go card all the time.

"As a customer, they're very, very handy, but for a criminal... [they're] also very handy," he said.

MasterCard says tap-and-go technology is safe

MasterCard said it was surprised by today's comments from Victoria Police.

"We view the issue of fraud and security very seriously, and are committed to providing consumers with safest methods of payment available," it said in a statement to ABC News Online.

"Since the introduction of chip-enabled cards and contactless technology, MasterCard data in addition to industry data reveals no increase in fraud specifically relating to contactless technology.

"We have met and held several discussions with the Victorian Police Fraud Squad since they first raised this issue publicly a few months ago.

"As both MasterCard and industry data reveals no increase in fraud specifically relating to contactless technology, we have asked Victorian Police to clarify the source and nature of their crime statistics relating to contactless fraud."

NAB said it monitored all cards to ensure customers' transactions matched their normal spending habits.



"NAB's real-time fraud detection system alerts our fraud prevention team to suspicious activity on customer accounts within seconds, 24 hours a day, seven days a week," a NAB spokesman said.

"Contactless payment technology offers a high standard of security and multiple layers of protection.

"Our customers trust us to keep their money safe and if a fraud is ever committed on their accounts, we will refund them 100 per cent."

Banks 'need to do more'

Victorian Police Minister Kim Wells has called on the banks to do more to stop cards being misused.

"The frustration from a policing and government point of view is that the banks bring out new technology that you can tap-and-go, but the reality is someone can find these cards... and go on a spending spree and keep their spending to less than $100," Mr Wells said.

That someone can just pick up a credit card and not have to worry about a pin, not have to worry about a signature...is just frustrating Kim Wells, Victorian Police Minister

"The banks simply need to do more to crack down on this. This is simply not good enough."

Mr Wells said it was not good enough for the banks to tell customers not to worry because they would cover the costs.

"You would think that the banks would have thought about this and it would have market testing and testing with the consumers.

"That someone can just pick up a credit card and not have to worry about a PIN, not have to worry about a signature, can just tap and then go, and... rack up $99 worth of expenditure... is just frustrating from a police and government point of view."

Stats also show increases in family violence

The rest of the police statistics show drug offences have increased by 15.5 per cent, but Mr Lay said the increase was due to a rise in arrests.

"We've got an additional 1,500 police on the street and we're actually seeing the number of drug offences detected rising quite significantly," Mr Lay said.

Mr Lay also said domestic violence continued to be a problem.

"The other issue of course continues to be family violence, with again strong increases in family violence, which are increasing your crime rate," he said.

"So it's those three areas: deceptions, family violence and detected drugs that have put the numbers up over the last 12 months."

Assaults were up 0.3 per cent of the population, but when family violence was excluded from this figure, rates were down by 2.5 per cent.

In other areas, robbery has fallen by 12.7 per cent.

Topics: police, crime, crime-prevention, vic

First posted