Fraud among businesses is on the rise, according to a new report from Bottomline Technologies.
The company's 2020 Treasury Fraud and Controls Survey claims 60 per cent of organisations have experienced some form of fraud, representing a 50 per cent rise over three years.
The report argues the rise in fraud is due to the increasing sophistication of attack methods. Criminals are automating and scaling their attacks using ransomware, business email compromise (BEC) and system-level takeover fraud, but at the expense of high-touch attack methods like check fraud.
That said, businesses have taken countermeasures, increasing defence spend in BEC (48 per cent), bank transactions (36 per cent) and transaction controls (33 per cent).
The report also suggests larger enterprises are more susceptible to fraud, who incurred 10 percent higher attack volumes than smaller counterparts.
“There’s been steady progress, but fraud prevention efforts must outpace increasingly sophisticated fraudsters,” said Chris Gerda, Risk and Fraud Prevention Officer, Bottomline Technologies. “The survey results highlight the need for defence spending at each step of a payment, especially at the human level.”
The report concludes payment fraud risk could be mitigated by improving visibility and promoting defence as part of company culture.
“No one is immune to fraud,” said Craig Jeffery, Managing Partner, Strategic Treasurer. “Banks and corporates of all sizes must critically evaluate their processes for preventing and detecting fraud for all payment methods.”