Title: Record-Breaking Online Banking and Payment Card Fraud Losses in Norway (2022)
Norwegian Cybercrime Unit’s Alarming Revelation
Oslo, Norway - The Norwegian Police’s cybercrime unit has disclosed worrying figures regarding financial fraud cases countrywide. In 2022, Norway witnessed losses of over 395 million Norwegian kroner ($44.3 million USD) from online banking fraud alone.
Concerning Trends in Manipulated Online Fraud Cases
Most alarming was the identification of 270 million kroner ($29.8 million USD) in losses where the fraudster successfully manipulated account holders into issuing payment orders. These cases commonly involved the following techniques:
- Fake emails or text messages resembling authentic communication from financial institutions
- Calls from seemingly genuine customer support representatives
The fraudsters then coaxed victims into transferring funds to seemingly authentic but fraudulent accounts.
The Escalating Online Fraud Trend in Norway
Online fraud cases in Norway have experienced a significant surge since 2018, as more consumers adopted digital banking channels for transactions.
Payment Card Fraud on the Rise in Norway
Since 2013, losses due to payment card fraud in Norway have continued to steadily rise and dropped in following years, only to peak again in 2022 at a shocking level. Notably, most of these fraudulent transactions were initiated electronically.
A Global Concern: Payment Card Fraud
According to recent estimates from the global payment industry, fraudulent payment transactions worldwide are projected to exceed $32 billion USD in 2022 and continue to grow. Debit cards were identified as the most targeted payment method for fraudsters [1].
As the digital landscape evolves, so too do the methods and sophistication of financial crimes. Consumers and businesses alike must remain proactive in their efforts to secure their funds and protect against increasingly advanced fraudsters.
Recommendations for Consumers and Businesses
To mitigate potential risks, consumers and businesses are advised to take the following steps:
- Stay Informed: Stay up-to-date with current fraud trends and tactics used by cybercriminals
- Secure Your Accounts: Set strong and unique passwords, enable multi-factor authentication, and regularly review account activity
- Verify Before You Send: Verify the authenticity of any communication requesting a transfer of funds
- Utilize Fraud Protection Services: Consider partnering with payment processors and financial institutions to leverage advanced fraud detection tools.
- Educate Your Team and Employees: Regularly train your teams to recognize and respond appropriately to email phishing attempts, bogus telephone calls, and other social engineering tactics.
[1] Payments Journal International, “Payment fraud on the rise: Facts, figures, and counter measures,” [Online]. Available: https://www.pjipayments.com/articles/view/payment-fraud-on-the-rise-facts-figures-and-counter-measures (Accessed February 2023)