Fraud & risk

Doors, windows, and cybercrime - 14 ways in

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14 different ways in…

According to PwC[1] the fastest growing form of economic crime globally is cybercrime, reported by 32% of businesses in 2016. But traditional frauds such as that committed from within the organisation are still rife. All criminals look for open doors and windows of opportunity. Here we examine some of the main ways you may allow them to sneak in:

E-Commerce Department

1. Online fraud – using the Internet to commit fraud rose by 18% during 2015 compared with

general e-commerce growth of 15%[2]

2. Card Not Present (CNP) fraud – nearly 75% of total card fraud in the Asia Pacific region happens when the payment card isn’t physically present[3]

3. Phishing – bogus communications sent to customers to request they share their personal data cost 7,000 US organisations over $740 million between 2013 and 2015[4]

4. Identity fraud – stealing personal details or creating a fictitious identity affected nearly 3.5 million UK citizens last year[5]

In-branch or store

5. Application fraud – opening accounts in someone else’s name, often using fake or stolen identity credentials, rose by 23% in the UK in 2015 with a total loss of £1.3 billion[6]

6. First party fraud – 35% of bad debt write-offs in North America were from genuine customers who used their accounts to obtain goods or credit with no intention to pay[7]

Customer Management

7. Account takeover fraud – posing as a customer to gain control of an account and make unauthorised transactions will cause losses of $800 million globally by the end of 2016[8]

8. Goods Lost in Transit (GLIT) – fraudulent claims in the UK relating to the non-delivery of goods totalled £405 million in 2015[9]


9. CEO fraud – fraudsters impersonating CEOs’ email accounts to authorise funds cost companies around £1.43 billion worldwide[10]

HR Department

10. Insider fraud – last year there was a 46% rise in worldwide fraud committed by an individual or group working inside the organisation[11]

IT Department

11. Data breach – in 2014, 904 million data records were copied, transmitted, viewed, stolen or used by an unauthorised individual in 1,922 confirmed incidents in the US[12]

12. Cyber attack – hackers attempted to damage or destroy computer networks or systems in 67% of the UK’s largest businesses last year[13]

Finance Department

13. Direct Debit fraud – an average of £540 goes missing before the customer notices that a criminal has set up unauthorised direct debits or stolen and/or made up account details[14]

14. Cheque/check fraud – check fraud in the US accounted for 77% of payment fraud losses in 2015, and in the UK, banks stopped £262 million of fake cheques[1]

Worse still, PwC estimates a third of organisations have no response plan to protect themselves from a cyber-attack.

…and your way forward

Ironically, while data is the very thing that attracts the criminals into an organisation, it is also a major part of the solution to deter them. In order to spot a fraudster or cybercriminal, we need a clear set of freely available, high quality reference data that allows the organisation to see what is ‘real’ or ‘normal’. Having a wide pool of data from inside the organisation, and beyond, helps provide real intelligence as to whether or not a particular identity, application or transaction is genuine. At GBG, we have nearly 300 data partners across the world who provide just such reference data so we can support our clients in fighting financial crime.

Identity data intelligence from GBG pools current knowledge from sources all over the world. Our technology is used to spot trends and issues before they take hold.

Put safeguards on your doors and windows – let only the right people in and keep all your data safe.


[1] Global Economic Crime Survey 2016, pwc






[7] The Enemy Within: The Threat of First-Party Fraud and Cardholder Abuse in a Weak Economy. TowerGroup. 30 March 2009



[10] millions.html

[11] EmployeeFraudscape2015-onlineversion.pdf

[12] were-compromised-in-2014.html



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