Over the past few years, it seems that nearly every company has its own story of being a victim or target of payments fraud activity.
According to the 2020 Association for Financial Professionals (AFP) Payments Fraud and Control Survey, underwritten by J.P. Morgan, 81% of organizations reported being targets of attempted or actual payments fraud attacks in 2019, marking the second-highest percentage in the past decade. While this statistic and several others shared in the survey findings are concerning, we still see too few institutions taking steps to avoid fraud – many only doing so after they’ve become a victim.
As they think through fraud prevention strategies, companies should be aware of the factors that have enabled the uptick of fraud in the last few years and know the trends most likely to characterize fraud in the future.