Returns, Disputes, and the Rise of First-Party Fraud
By PaymentsJournal
At first glance, it looks like a simple return or a routine dispute. But behind many of these transactions is a growing problem often mischaracterized as friendly fraud—a form of first-party fraud that costs organizations significantly and is increasingly normalized by consumers.
Although it has sometimes been called friendly fraud, there is nothing benign about exploiting organizations’ returns processes. What’s even more troubling is that a growing number of consumers feel justified in not paying for products and services they have ordered and received…
Read MoreAI-Driven Fraud Makes “Proof” More Important Than “Documents”
By Victor Mendez, FinExtra
AI-driven fraud makes “proof” more important than “documents”
For years, remote customer onboarding relied on a straightforward premise: forging identity documents and biometric evidence is difficult and expensive. If a user provided a government-issued ID and a matching live selfie, platforms assumed the person on the other side of the screen was real. Deepfakes don’t break KYC rules—they break that underlying assumption. The uncomfortable truth is that KYC didn’t get weaker — the evidence did…
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Survey: Americans Are Increasingly Entangled in Financial Scams
By Alex Gailey, BankRate
A growing number of people say they’ve experienced some form of financial fraud over the past year, especially older, white Americans, despite taking a variety of precautions to protect themselves, Bankrate’s latest national survey has found.
Experts said scammers are getting increasingly crafty, using artificial intelligence to clone voices, create videos and fake emails that seem more authentic…
Read MoreSolving for Fraud in Cross-Border Payments Requires Better Counterparty Verification
By PaymentsJournal
As information highways have opened new avenues to the global marketplace, many business owners have been attracted to these new frontiers.
However, there are unique challenges associated with cross-border operations that go far beyond currency conversions and product delivery. When businesses start moving money across borders, it introduces more gaps for cybercriminals who are increasingly adept…
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