London takes the lead as credit and bank fraud rises 14%

by Gill Montia

Story link: London takes the lead as credit and bank fraud rises 14%

CIFAS, the UK’s Fraud Prevention Service, has published new research showing that London and the South-East are the country’s key hotspots for fraudulent applications across all product sectors.

The organisation recorded 104,548 confirmed cases of fraud from January to July 2008, a 14% rise on a year earlier.

Bank account and credit card fraud topped the list of this type of criminal activity, followed by loans and phone deals.

The top ten mortgage and credit card fraud hotspots all fell within the M25 with the most commonly appearing postal districts as follows: E6 - East Ham; CR0 - Croydon; SE15 - Peckham; SE18 - Plumstead; E17 - Walthamstow; IG11 - Barking; NW10 - Willesden; SE28 - Thamesmead; E7 - Forest Gate; N17 - Tottenham.

The research also found that Lanarkshire is a fraud hotspot, as is CV6 in Coventry.

According to CIFAS research manager, Sandra Peaston, many elements conspire to make London the hub of activity for fraudsters, including criminals believing that the capital’s population density affords anonymity.

However, fraud data sharing in the financial services industry is challenging this.

CIFAS also points out that that those engaged in mortgage fraud have gravitated to London to take advantage of high property prices.