Each year, we survey businesses across industries to learn more about the fraud trends they experienced over the past 12 months and what they expect in the coming year.
This year’s results show fraud attempts across industries are on the rise. Sixty-seven percent of organizations reported an increase in fraud attempts, compared to just 42 percent in 2016, an increase of 58 percent. Once again, the top challenge to preventing fraud are the shifting tactics used by criminals (71%). This is followed by the complexity of identity verification (51%) and customer awareness (46%). Notably, the pressure to reduce customer friction was reported by 40% of respondents as a challenge facing fraud practitioners.
Additionally, major breaches have provided criminals with more identity data they can utilize as part of sophisticated fraud schemes, such as synthetic identity fraud (SIF). Thirty-one percent of businesses say SIF has increased, and 58 percent were “extremely” or “very” worried about it. Fraud targeting mobile devices and contact centers has also increased, with tactics like device cloning and social engineering being deployed by fraudsters at alarming rates.
Now in its fifth year, IDology’s Annual Fraud Report surveys companies across financial services, healthcare, insurance and eCommerce industries, with respondent titles including C-level executives, vice presidents, directors, managers and analysts in risk, fraud, compliance, product and operations departments. This infographic distills the major findings from the report.