PGMA acts to curb credit card fraud
Davao City (16 February) -- President Gloria Macapagal-Arroyo has created a task force to stop the rising incidence of credit card fraud in the country as more Filipinos use "plastic money" for transactions.
In an Executive order No. 573, the President tapped Justice Secretary Raul Gonzales to head the Anti-Fraud Task Force composed of the National Bureau of Investigation and the Philippine National Police to strengthen Republic Act 8484, or the Access Device Regulation Act of 1998.
The occurrence of credit card fraud is increasing and acquiring banks incur huge losses and suffer stunted credit card sales, ultimately threatening the survival of the credit card industry, including the negative repercussions in the domestic economy, the President said in the order that she signed.
She said credit card fraud was a "form of economic sabotage as it creates a bad image for the country in the global market at a time when the government was moving to boost tourism.
The Credit Card Association of the Philippines earlier appealed to Malacanang to give more teeth to its laws against fraudsters using illegally obtained information from credit cards, obtained mostly through store or restaurant personnel.
The CCAP complained that most credit card fraudsters were able to walk away and disappear after being caught because of the absence of guidelines on the implementation of the country's anti-fraud laws.
Although credit card fraud is not as widespread in the Philippines as in other countries – constituting less than one percent of credit car transactions here – the CCAP said there was a need for safeguards because of the inadequate security features of most credit cards in the country. (PIA) [top]
