Business
ACI Worldwide Scamscope Report Finds APP Scam Losses Expected To Hit $6.8 Billion by 2027
Losses to APP scams are expected to record an average CAGR of 11% from 2022-2027 across analyzed markets. APP scam losses are expected to grow at almost 50%
About this update from Aci Worldwide, Inc.
[{"type":"text","content":"\n\nLosses to APP scams are expected to record an average CAGR of 11% from 2022-2027 across analyzed markets.\n\n\n\nAPP scam losses are expected to grow at almost 50% of the CAGR of real-time transaction value.\n\n\n\nReport outlines scam defense strategies, which include creating an intelligence-sharing network, embracing responsible AI and boosting consumer education.\n\n\n\n MIAMI--(BUSINESS WIRE)--\nAuthorized Push Payment (APP) scam losses are on the rise and expected to climb to $6.8 billion — a combined compound annual growth rate (CAGR) of 11% — by 2027 across six leading real-time payment markets (U.S., U.K., India, Brazil, Australia and Saudi Arabia) according to Scamscope, a new report by global payments software company ACI Worldwide and GlobalData, a leading global analytics firm. During the same period, the overall value of real-time transactions is also forecasted to grow at a faster pace, reaching 25% CAGR.\n\nThis press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20231204840417/en/(Graphic: Business Wire)\nAPP fraud scams involve fraudsters tricking their victims into willingly making large bank transfers to them – in many cases, this happens via social engineering across social media networks or via telephone. “As real-time payments surge forward, the slower yet disconcerting rise of APP scams puts regulators under pressure to define accountability and assign liability,” commented Cleber Martins, head of payments intelligence and risk solutions at ACI Worldwide. “A cross-industry payments intelligence model for sharing anonymized fraud intelligence signals can strengthen the insights for automated AI systems and facilitate collaboration in real time to profile transaction risk without compromising IP, data privacy or compliance obligations.”\n\n\nFraud prevention key to unlocking sustainable growth in real-time payments\n\n\nAmong the markets covered in the report, Saudi Arabia and Brazil are the top two markets with the highest CAGR in scam loss value and among the top three with the highest CAGR in real-time payments value. This implies a concerning correlation between the increase in scams and the expanding volume of real-time payments and underscores the importance of addressing scams within the rapidly growing landscape.\n\n\nIn Brazil, scammers are expl...