Just as one fraud issue seems to be reduced and somewhat under control – EMV has been highly effective at reducing counterfeit fraud, for example – another type takes off. Fraud attacks involving rogue mobile apps jumped nearly 300 percent in the first quarter from the preceding quarter. At the same time, fraudulent card-not-present (CNP) transactions rose 17 percent.
This new report by fraud-control services provider RSA Security says it flagged 41,313 attacks from rogue apps. This is a huge jump compared to the 10,390 flagged in 2018’s fourth quarter. Who falls victim to these attacks? Heidi Bleau, manager at RSA Fraud & Risk Intelligence Solutions unit says these apps trick all types of brands, including financial ones.
“Fraudsters continue to expand the number of stores where they place their rogue apps as well as the number of apps in general,” Bleau says by email. “It’s one of the fastest-growing attack vectors. It is an unintended risk of expanding to the mobile channel that very few organizations are aware of.”
Unfortunately, the mobile channel is playing a key role in the growth of online fraud. 56 percent of the fraudulent transactions that took place from last year’s fourth quarter to this … Read the rest