Financial Crime World

Jamaica Warned of Rise in Credit Card Fraud: BIN Attacks on the Increase

A Growing Concern for Jamaican Banks and Customers

A surge in credit card fraud has been detected in Jamaica, with banking experts warning of a rise in so-called BIN attacks. In this type of attack, hackers use computer programs to “guess” the full card number, CVV code, and other information linked to debt and credit cards.

What are BIN Attacks?

BIN attacks work by using the first six digits of a debit or credit card to generate full card numbers using an algorithm. The aim is to generate legitimate card numbers, often referred to as a “brute force” attack. This type of attack can result in thousands of combinations being tried in a matter of seconds.

All Brands and International Cards Susceptible

According to Dane Nicholson, spokesman on fraud for the Jamaica Bankers Association, all brands of cards in the market space, both local and international, are susceptible to BIN attacks. Companies using card services that permit internet transactions may have seen an uptick in complaints.

Recent Incidents

Prior to JMMB’s circular, President and CEO of First Global Bank Radcliffe Daley sent out a message to account holders warning of a potential fraud attempt on May 8-9. The bank launched an investigation but urged customers to be alert to activity on their accounts.

How Can Customers Protect Themselves?

JMMB is advising customers to:

  • Pay close attention to alerts regarding successful transactions
  • Report any fraudulent breaches immediately
  • In cases where the transaction has been declined, no report to the bank is required

Recommendations for Banks and Merchants

The Jamaica Bankers Association is urging banks and merchants to add more layers of security in light of these attacks, including:

  • Automation of monitoring BINs to identify high volumes of CVV/expiration date errors
  • Repeated low-value or out-of-band transactions
  • Implementing proper BIN management techniques
  • Captcha on e-commerce platforms

While bank fraud in Jamaica is declining overall, internet-based fraud is on the rise and credit card fraud continues to proliferate. According to the Bank of Jamaica’s latest Financial Stability Report, banks lost $715 million to fraud in 2022, down from a high of $1.3 billion in 2019.

Conclusion

The rise in BIN attacks is a growing concern for Jamaican banks and customers. It is essential that banks and merchants take proactive measures to prevent these types of attacks and educate customers on how to protect themselves. With the right security measures and awareness, we can reduce the risk of credit card fraud and maintain a safe financial environment in Jamaica.