A report indicates that South African credit card processor PayGate faces a significant increase in the size and volume of credit card transactions on the internet in 2008.

According to PayGate representatives, the introduction of Verified by Visa and Master Card SecureCode has reduced fraud and has almost replaced the traditional offline credit card processing called mail order Moto.

The report shows that credit cards are the most common method of payment for online purchases. Over half of the purchases were made with a Visa card. In 2007, the number of people who shopped online reached 875 million worldwide, an increase by 40 percent from 2005.

Travel and Tourism credit card processing grew by 40 percent. Moreover, Average Ticket Values have grown to such an extent that credit cards via the PayGate payment gateway are processed for amounts in the hundreds of thousands.