Tap-to-Pay Fraud: How Retailers Can Identify and Prevent It

Tap-to-pay fraud is a growing form of retailer-targeted fraud that uses stolen payment credentials, digital wallets and contactless payment technology to make fraudulent purchases. Criminals may obtain card information through phishing, fake websites, fraudulent phone calls, malware or compromised card data, then use mobile wallets or NFC tools to make purchases at retail terminals. 

Developed by the Gift Card Fraud Prevention Alliance, this resource helps retailers and fraud prevention teams understand how tap-to-pay schemes operate and what to watch for at the point of sale. It highlights common indicators including multiple phones, coordinated groups, rapid repeated transactions, declines followed by approvals, multiple gift card purchases and higher-dollar transactions. It also outlines evidence that can support investigations, including POS records, mobile wallet data, CCTV footage, digital evidence and patterns across stores.

Understanding these schemes can help retailers recognize suspicious activity, strengthen fraud detection and support more effective investigations. Download the Tap-to-Pay Fraud resource to learn what to look for, what evidence to collect and how these schemes turn stolen credentials into fast cash-outs.