Online fraud in the Philippines doubled during COVID-19 pandemic -TransUnion

Suspected digital fraud incidents in the Philippines more than doubled during the coronavirus disease 2019 (COVID-19) pandemic, data released by information solutions provider TransUnion LLC. on Thursday showed.

According to data from TransUnion, cases of digital fraud rose by 119% during the March 11 to April 28 period from the January 1 to March 10 period.

In comparison, TransUnion said the global rate of suspected fraudulent online transactions rose by 5% during the same comparable periods.

"Given the billions of people globally that have been forced to stay at home, industries have been disrupted in a way not seen on this massive of a scale for generations," said Pia Arellano, president and chief executive officer at TransUnion Philippines.

"Now that many transactions have shifted online, fraudsters have tried to take advantage and companies must adapt. Businesses that come out on top will be those leveraging fraud prevention tools that provide great detection rates and friction-right experiences for consumers," she added.

The biggest jump in digital fraud cases was recorded in the telecommunications industry which rose by 3,139%, followed by financial services by 114%, and communities by 18%.

There were no changes recorded in the public sector and insurance industries.

Meanwhile, TransUnion said drops were recorded in suspected digital fraud in travel and leisure (-44%), healthcare (-43%), e-commerce (-39%), gaming (-30%), gambling (-24%), and logistics (-5%).

"Globally post-pandemic, the most common types of online fraud in telecommunications—the industry with the highest percentage of suspected digital fraud growth from the Philippines—are credit card fraud and account takeover/hijacking," said TransUnion.

"The types of online fraud from the industry with the second highest rate of suspected digital fraud growth from the Philippines—financial services—are identity theft and account takeover/hijacking globally," it added.—AOL, GMA News