Javelin Strategy & Research released their annual Credit Card Issuer’s Safety Scorecard – and once again it was great news for Bank of America. For the fifth consecutive year out of seven years of the analysis, the bank rose to the top of the list for credit card safety for fighting identity theft and fixing fraudulent transactions. Rounding out the rest of the top five (in order of ranking) were Discover, U.S. Bank, USAA and Capital One.

Analysis by researchers used Javelin’s Prevention, Detection and Resolution™ fraud model to rate twenty- three of the lenders in the United States. New more stringent criteria, including a stronger focus on the use of truncated Social Security Numbers, and eight new prevention categories were added to this year’s scorecard.

“Breaches of consumer information from card issuers continue to make headlines and are driving issuers to rethink their current security strategies,” said James Van Dyke, President and Founder of Javelin Strategy & Research. “Security and fraud detection are the consumer’s top concern when selecting and staying with a credit card issuer. Banks need to work hand in hand with their customers to stay ahead of identity threats and implement the right security measures to best protect sensitive cardholder data.”

New credit card accounts are the most common target for fraud, according to Javelin, but new account registrations are evaluated for fraudulent activity by only one in eight issuers. With identity fraud at a record high of $37 billion in 2010, banks need to put more focus on the application process to weed out illegitimate accounts.

The report examines ways that issuers could provide a broader range of detection alerts to meet the individual needs of their cardholders and points out opportunities for fraud reduction. It also highlights the latest scamming tactics and criminal trends, suggesting security measures that can be adopted by issuers to fight against it and increase customer satisfaction.

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