Card Fraud Falls 14% to $673 Million
AusPayNet's 2025 report shows declines in card and cheque fraud alongside rising card application fraud and overseas card-not-present losses.
Updated on Nov. 10, 2026 in Financial Crime
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Total value of fraud on Australian-issued cards fell 14 per cent to $673 million in 2025, according to AusPayNet. Card-not-present fraud reached a record low, while fraudulent card applications rose 42 per cent over the same period.
Why it matters
Lower total losses suggest that authentication and merchant controls are working in the domestic market, but rising application fraud and overseas card-not-present losses point to shifting risks. AusPayNet is developing a Card and Fraud Scam Mitigation Program in response.
Overseas card-not-present fraud accounted for 53 per cent of all fraud on Australian-issued cards, at $8.15 per $1,000 spent, about 15 times the domestic rate. Cheque fraud fell 33 per cent to $1.8 million, the lowest value in AusPayNet's reporting history.
The players
AusPayNet
The Australian Payments Network is the industry body that runs payment fraud reporting and governs card and payment standards in Australia.
The details
Card-not-present fraud on domestic transactions reached a record low, which AusPayNet links to authentication requirements applied to domestic merchants and acquirers under the CNP Framework. Overseas merchants are not subject to the same requirements, and overseas card-not-present transactions represent around 4 per cent of total card spend.
Timeline
November 2024: The federal government announced a plan to phase out cheques.
2025: The calendar year covered by AusPayNet's fraud report.
30 June 2028: Financial institutions are due to cease issuing cheques.
30 September 2029: Cheques are due to cease being accepted.
Industry Context
The CNP Framework applies authentication requirements to domestic merchants and acquirers but not to overseas merchants, and the 2025 figures show the gap between the two groups is widening in its effect. AusPayNet's Card and Fraud Scam Mitigation Program, with five workstreams including overseas CNP mitigation, is its planned response.
Cardholders face a higher risk from fraudulent card applications and overseas card-not-present transactions, which remain the largest share of losses. Checking card statements and using authentication features when shopping with overseas merchants can reduce exposure.
The takeaway
Falling domestic fraud rates show that merchant authentication can work, but overseas card-not-present transactions and fraudulent applications now carry most of the risk. Consumers should monitor statements closely and be cautious with overseas online purchases.
What happens next
Cheques will cease being issued by financial institutions by 30 June 2028 and will cease being accepted on 30 September 2029.
Further reading
Read more about financial crime trends and the payment systems that shape them.
Source note: This article includes information reported by Banking Day.
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