Security News > 2022 > March > Shipping fraud quickly emerging as one of the top fraud types

The continuous growth of e-commerce could be behind a surge in shipping fraud, which is now the fastest growing type of digital fraud worldwide, according to a TransUnion report.

Shipping fraud - defined as when a buyer spoofs a shipping address or when a seller receives payment for goods or services, but never ships to the buyer - has quickly emerged as one of the top fraud types across a variety of industries.

In addition to shipping fraud, other types of fraud that experienced large increases when comparing 2020 to 2021 include business identity theft and identity mining / phishing attempts which both showed high rates of annual growth.

Top industries targeted by suspected digital fraud in the U.S. While shipping fraud spans a plethora of industries, certain business sectors tend to be more prone to digital fraud attempts.

In the United States, the gaming industry saw the largest percentage of annual fraud growth in 2021 with an increase of 60.3% YoY. Travel and leisure and telecommunications were the second and third industries with the largest growth in the rate of suspected digital fraud attempts.

"Fraud continues to impact a variety of different business sectors and fraudsters are always looking for the next opportunity. However, there are some industries that continue to have a target on their backs - such as financial services or travel and leisure - that should preemptively employ fraud detection solutions and strategies to better serve customers and protect their bottom line," said Sean Donnelly, SVP and go-to-market global fraud solutions at TransUnion.

News URL

https://www.helpnetsecurity.com/2022/03/11/growing-digital-fraud/