Visa UK has implemented a slew of new measures to protect small businesses from the soaring rates of ‘friendly fraud’, in which cardholders dispute a legitimate purchase with their card issuer.
According to Visa research, up to 20% of sales have been disputed in this type of fraud, which has increased for nine out of ten small businesses over the past year. Both merchants and card issuers are impacted by the rise in friendly fraud.
For instance, the Covid-19 pandemic resulted in an unprecedented 251% increase in card dispute requests, forcing Nationwide Building Society to streamline its process.
Read More: Visa UK introduces new measures to protect SMEs from ‘friendly fraud’
