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- Generation Z are 84% more likely to be targeted by fraudsters than 25–35-year-olds
- Over 75-year-olds typically lose almost twice (90%) as much money to fraud as other age groups
- Bot attacks buck global trend and soar in the UK as fraudsters target e-commerce and media organisations’ logins
Under 25s are the most likely target of a fraudulent cyber-attack, according to the latest Cybercrime Report from global data and analytics provider, LexisNexis® Risk Solutions. Surprisingly, they are 84% more likely to be the victim of fraud than 25–34-year-olds, despite being considered the first true ‘digital native’ group.
The biannual Global Cybercrime Report, which covers July to December 2020, analyses transaction data from the LexisNexis® Digital Identity Network®, a repository of global shared intelligence gained from billions of consumer interactions including logins, payments and new account applications. The reports findings are based on 24.6 billion transactions.
Over 75-year-olds are the second most vulnerable group to fraud, being around a quarter (28%) more likely to be the victim of an attack when compared to 25–35-year-olds. However, over 75s lose almost twice (90%) the amount of money as their under 75 counterparts when falling victim to a fraudulent cyber-attack. Analysis shows that the older the victim, the higher the average fraud loss.
Rebekah Moody, Director of fraud and identity for LexisNexis® Risk Solutions, comments:
“The higher level of risk to both the youngest and oldest age groups serves as a stark reminder of the need to protect all customers from the effects of fraud. While the younger age group are often perceived to be the most tech-savvy, their online footprint is vast and they are generally happy to share their data with a wide range of companies.”
“At the other end of the age spectrum, the older population – some of whom may have been pushed online due to the closure of physical stores and bank branches – can sometimes be less well versed at spotting the signs of a pitch-perfect scam, and then sadly stand to lose the most money from such an attack.”
“Businesses face the constant challenge of building a layered fraud defence to protect all customers from the full spectrum of fraud attacks. This can range from a fraudster armed with stolen identity credentials, or a cybercriminal disguised as a bank employee attempting to convince a customer to perform a fraudulent payment. This also shows why education, online messaging and awareness is such an important part of a holistic risk strategy.”
UK trends
The UK market experienced a 16% growth in transaction volumes year-on-year reflecting the fact that consumers are doing more online, as well as the widely reported flux of new-to-digital users driven online by the pandemic.
Fraudsters took full advantage of the increased online activity, using it to attempt to mask a huge 44% increase in automated bot attacks designed to mass test stolen identity credentials. The Digital Identity Network revealed that fraudsters are mainly focussing these credential-testing bot attacks on media and e-commerce accounts, likely due to their lower barriers of entry, identifying legitimate illegally-obtained personal details and passwords that they can use to commit further fraud elsewhere.
Mobiles were shown overwhelmingly to be the device of choice for our UK consumers, with a massive 85% of all UK transactions coming from a mobile device, versus desktop.
Rebekah Moody continues:
“Automated bot attacks offer fraudsters the opportunity to mass-test stolen credentials at scale, deploying armies of computers controlled by a general who can minimize his effort while maximizing his gains. Validated credentials offer the chance for the fraudster to make more money, either by selling the credentials for a higher price on the dark web, or using them in a more lucrative attack elsewhere.”
“Building a multi-layered defence is key to protecting businesses, and their customers, from the sometimes devastating effects of fraud . Uniting the best digital identity intelligence with physical identity solutions and behavioural biometrics intelligence can be the gamechanger that organisations need to lessen the unpredictable and ever-changing tides of fraud. This when coupled with consumer education will allow us to stay on the front foot when fighting fraud.”
