As e-commerce grows every year, so does the risk of frauds. The larger the number of transactions taking place online every day across markets across globe, frauds increases. According to a 2021 report from Juniper Research , the global cost of online payment fraud is expected to reach $206 billion by 2025. Another 2022 Juniper report predicted that businesses stand to lose more than $343 billion to online payment fraud globally between 2023 and 2027, a number that represents "over 350% of Apple's reported net income in the year 2021."
These figures increase the need for startups and businesses to take an immediate action to protect themseleves from online fraud.
Fruad is an activity which takes place on the internet or through different online platforms in which bad actors use this reach of internet to scam or deceive buyers to steal their valuable information.
Phishing is when bad actors send emails or messages that appear to be from a legitimate company, but are actually from a fraudelent company to trick them into giving their information to bad actors.
Account Takeover Fraud occurs when a bad actor gains access to log-in credentials of someone's bank account.
Chargeback Fraud occurs when a person makes a purchase and recieves the product, then disputes the charge with credit card company saying they never recieved the product to get their money back.