Banking Payments Contexts (BPC) recently released a report, “The Anatomy of the new fraudster,” which looks into the different types of fraud financial institutions need to prevent.
Around the world, people’s shopping and payments habits have changed significantly due to COVID 19.
Lockdowns, curfews and forced physical distance have seen a rise in e-commerce and led to a massive
adoption of online payments worldwide.
In mature, digitalised societies, cash is no longer king! The use of bank apps, contactless payments and QR codes are also on the up in developing countries. These global trends haven’t gone unnoticed among fraudsters and cyber criminals.
According to Lexis Nexis, the global payments market is estimated to be worth $2trillion by 2025, but is also
expected to lose up to $200B due to fraud over the next 5 years.
Fraud Targets
With millions of people worldwide under partial or total lockdown, fraudsters shifted their modus
operandi from defrauding elderly consumers to Millenials.
Millennials spend hours on the internet, studying,
teleworking, surfing, shopping and buying products and services. This makes consumers an easy target for
cybercriminals engaged in ID Theft and other fraud schemes.
Fraud is costly, yet Fintech penetration is on the rise in Africa. We must start talking about fraud and its effects not just on the individual but on nations and the whole continent.
BPC offers smart digital solutions, helping customers in various industries ranging from banking, retail to mobility to build out meaningful ecosystems.
African Eye Report
