72 percent of mobile banking frauds include remote deposit capture

Tuesday 5 April 2016 10:24 CET | News

Analysis conducted by Guardian Analytics has found that of all fraud cases involving mobile banking apps, 72% included remote deposit capture (RDC).

Laurent Pacalin, Guardian Analytics President and CEO, said RDC fraud is the latest example of fraudsters merging the old and the new, in this case committing classic social engineering and check fraud over modern banking channels and technology.

Another report on banking fraud released by American Bankers Association highlights the impact mobile banking fraud is having on institutions of all sizes, with 100% of the largest financial institutions reporting RDC fraud and a 400% growth in losses reported over two years across financial institutions of all sizes.

Guardian Analytics` Mobile Fraud Trends research identifies two schemes dominating mobile RDC fraud: the ‘sweetheart scam’ in which fraudsters foster relationships online and then manipulate their victims into cashing fraudulent checks, and ‘fake online payday lenders’, where cyber criminals trick prospective borrowers into unwittingly depositing fraudulent checks through RDC and then cashing them out as a part of a fake loan approval process.

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Keywords: mobile banking, online fraud, cybercrime, remote deposit capture, social engineering, check fraud
Categories: Securing Transactions | Digital Identity, Security & Online Fraud
Countries: World
This article is part of category

Securing Transactions