29 May 2017
Visit www.capgemini.com/worldreports

Current accounts become top target for financial fraudsters

02 July 2015  |  4557 views  |  0 hands at a keyboard

For the first time, current accounts have become the most targeted financial product by fraudsters, as criminals probe for loopholes in the UK's seven-day switching service.

At least 89 in every 10,000 applications for a current account are made by an imposter, according to Q1 figures released by Experian.

Within the first three months of last year, 32% of fraudulent current account applications were attempted by people who had stolen an identity, but by the end of Q1 2015 this figure had jumped to 49%.

The trend has come as criminals continue to probe for weaknesses in the seven day switching system, says Nick Mothershaw, UK&I director of identity & fraud at Experian.

“Recent figures from the Payments Council shows that there has been a seven per cent year on year rise in current account switching," he says. "While fraudsters may be taking the opportunity to test the security of lenders' systems, increased detection rates are showing that their systems are clearly holding up."

The data shows current accounts surpassing mortgage accounts as the number one target for financial fraudsters. As well as offering a quick win for abuse of overdraft facilities, current accounts can also offer criminals a stepping stone to a wider range of financial products using stolen details.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Fraudsters using spoof bank texts in new scam

Fraudsters using spoof bank texts in new scam

09 June 2015  |  7295 views  |  0 comments | 8 tweets | 8 linkedin
British businesses battling epidemic of CNP fraud

British businesses battling epidemic of CNP fraud

15 April 2015  |  6423 views  |  1 comments | 15 tweets | 16 linkedin
UK online banking fraud losses soar 48%

UK online banking fraud losses soar 48%

27 March 2015  |  14231 views  |  0 comments | 17 tweets | 26 linkedin
ID fraudsters stole $16bn from Americans in 2014 - research

ID fraudsters stole $16bn from Americans in 2014 - research

05 March 2015  |  6608 views  |  0 comments | 17 tweets | 14 linkedin
More than one billion records compromised by data breaches in 2014

More than one billion records compromised by data breaches in 2014

12 February 2015  |  8410 views  |  0 comments | 19 tweets | 20 linkedin
Fake bankers and police officers jailed for vishing frauds

Fake bankers and police officers jailed for vishing frauds

05 February 2015  |  5717 views  |  0 comments | 6 tweets | 4 linkedin
Bank tellers indicted in $850,000 identity-theft ring

Bank tellers indicted in $850,000 identity-theft ring

17 September 2014  |  3954 views  |  0 comments | 5 tweets | 3 linkedin
Fraudsters don fake uniforms to con wealthy bank customers

Fraudsters don fake uniforms to con wealthy bank customers

24 March 2014  |  4277 views  |  1 comments | 5 tweets | 3 linkedin

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit vasco.com/news/PSD2-compliant-solutionsvisit www.niceactimize.comVisit www.capgemini.com/worldreports

Top topics

Most viewed Most shared
BBVA launches Open API marketplaceBBVA launches Open API marketplace
14510 views comments | 53 tweets | 82 linkedin
Bank/fintech collaboration can take transaction banking to new heightsBank/fintech collaboration can take transa...
8212 views comments | 12 tweets | 24 linkedin
R3 raises $107mR3 raises $107m
7719 views comments | 17 tweets | 16 linkedin
TransferWise launches multi-currency business bank accountsTransferWise launches multi-currency busin...
7544 views comments | 12 tweets | 21 linkedin

Featured job

Six Figure Base + Commission + Stock Options
London

Find your next job