A fast-approaching holiday shopping season, global economic disruption, rising consumer costs, and evolving fraud tactics mean that fraud fighters will have their hands full in the months to come. In the below roundup, our fraud experts shed light on the fraud trends to look out for in the remaining months of 2022, as well as the tools and strategies that help companies stay prepared and resilient.
Challenging times call for better, faster fraud prevention
Companies are currently facing a challenging economic climate, which leads to reduced budgets and making do with fewer resources. Unfortunately, these cost savings often mean that risk teams suffer if a company cuts back on fraud prevention tools and personnel. Fraud teams are asked to do more with less, which inevitably leads to decreased accuracy, efficiency, and efficacy of fraud operations.
To ease the burden on fraud teams, Sift has released several new platform upgrades this month to help fraud fighters work more efficiently, and make smarter, faster decisions. Enhancements include expanded integrations and machine learning for chargeback management, and simplified data connectors, and the addition of Checkout.com and Jumio to the Sift Connect App Gallery. Read more about the latest updates and improvements in our blog.
Three trends redefining fraud in 2022
Tighter budgets aren’t the only change companies should be worried about during uncertain economic times—rising fraud is also set to eat into business revenue. Since January 2022, 68% of trust and safety experts surveyed by Sift reported seeing a spike in fraud across their businesses.
Gadaffi Maricar, Sift’s Head of Sales and Sales Engineering in APAC, outlines the trends redefining fraud in 2022 and how businesses can stay prepared in this recent piece for Fintech News Singapore.
Hidden fraud threats during the holiday season
The holiday shopping season is fast approaching, and both businesses and online shoppers need to be on alert for scams and fraud. Fraudsters take advantage of increased consumer spending during the holidays, driving fraud rates up during this time every year. And with more consumers looking for a good deal, especially now that costs are increasing, the danger that their personal and payment information will be compromised only increases. Sift research revealed an alarming rise in account takeover attacks (ATO) in the first half of 2022 alone, and one can safely assume that fraudsters will only accelerate these attacks during the holidays.
See what Brittany Allen, Trust and Safety Architect at Sift, had to say about keeping consumers’ personal and payment information safe online in this article from The Street.
Read more about the three emerging market trends that are redefining fraud in our latest guide.