Global B2C ecommerce turnover rose $400 billion to $2.7 trillion in 2016 as fraudsters pivoted to CNP methods as Americans adopted EMV chip cards. That has caused CNP fraud loss recovery costs to soar from $2.9 billion in 2014 to an estimated $6.4 billion in 2018.
PSCU will employ Ethoca Alerts to report cases of confirmed fraud to more than 5,200 global commerce merchants covering more than 200,000 merchant descriptors. This stops them from fulfilling fraudulent orders while refunding victimized cardholders. The new process takes hours instead of weeks.
“PSCU engaged in a successful pilot of the Ethoca Alerts service and determined there was significant value and cost avoidance for our members,” PSCU SVP and chief risk officer Jack Lynch said. “As card not present fraud continues to rise, PSCU looks to the future and a continuing partnership to capitalize on the long-term value that comes from participating in Ethoca’s global collaboration network.”
“Our partnership with PSCU means that not only will their hundreds of credit union Member-Owners benefit from the value of the Ethoca collaboration network, but so also will our thousands of other issuer and merchant participants,” Ethoca sales EVP Jason Howard said. “As our network continues to grow and merchant adoption increases globally, PSCU is poised to get even more value from the Ethoca Alerts service in the future. It is our privilege to support PSCU’s credit unions at a time when fraud continues to increase and cardholder experience is top of mind.”