Get 2026 fraud trends and statistics for financial institutions and fintechs, and benchmark your fraud strategy to elevate your defenses.
See how Alloy's identity and fraud prevention platform uses AI and 270+ data solutions to detect fraud and accelerate growth across the customer lifecycle.
Alloy CEO Tommy Nicholas breaks down the 3 trends keeping fraud and compliance teams up at night: AI-accelerated fraud, agentic users (KYA), and efficiency mandates.
7th largest credit union in the U.S. drives growth by keeping members safe
When authentication and fraud prevention operate in silos, account takeover attacks slip through. Here's what unified detection actually looks like.
Alloy Marketplace unites 270+ partner solutions and a new library of pre-built decisioning logic in one dashboard. Discover, test, and deploy from one place.
Why spend time on tedious manual reviews when AI can do it for you? Learn how agentic AI for KYC and compliance is helping financial orgs optimize efficiency.
7th largest credit union in the U.S. drives growth by keeping members safe
Alloy’s real-time risk assessments helps IncredibleBank create a holistic risk profile for each applicant.
Alloy helps Earnest optimize customer onboarding and underwriting to boost conversion rates
Know Your Agent (KYA) is how financial institutions verify AI agents acting for customers. Learn the core controls and how it differs from KYC.
Learn how actionable AI empowers financial institutions and fintechs to move from detecting fraud to agile prevention.
Banks and fintechs run into challenges that cause customer friction when it comes to AML, KYB, and KYC regulations.
Alloy included both US and UK respondents in its 2024 State of Fraud Benchmark Report. Here is a breakdown of similarities and differences between the countries.
NEW YORK, January 25, 2024 -- Alloy, the identity risk management company behind over 500 leading banks and fintech companies, today released its 2024 State of Fraud Benchmark Report, finding that after years of steadily increasing fraud rates, the number of reported fraud attacks have begun to even out – and for some organizations, to decelerate. Despite that progress, fraud has still resulted in significant financial losses: 56% of respondents lost more than 500,000 (EUR/USD) to fraud in the last 12 months, and 25% lost over 1M (EUR/USD) in that time. Alloy’s State of Fraud Benchmark Report tracks shifting trends in financial fraud, based on a survey of over 450 fraud decision-makers working at banks, credit unions, and fintechs in the US and UK. The report offers an inside look at how companies prepare for, experience and respond to fraud, and how that fraud translates to direct financial losses. This year’s report revealed a drop in the number of companies that have experienced 1,000 or more fraud attempts over the past year: In 2023, 35% of companies experienced 1,000+ fraud attempts, down from 47% in 2022. But it’s not all good news: 61% of companies saw an increase in attempted fraud attacks committed through consumer accounts in the past year, and 54% saw an increase in attempted fraud attacks committed through business accounts. “It’s encouraging to see companies getting fraud volume under control using the wide array of identity data and technology available on the market,” said Tommy Nicholas, CEO and co-founder at Alloy. “But fraud remains a critical problem because bad actors are always finding new tools—such as generative AI—to steal increasingly large amounts of money.” On the bright side, business sectors investing in the implementation of new fraud tools were more likely to see decreased fraud attempts last year. 24% of enterprise fintechs and 43% of mid-market banks said fraud attacks by consumer and business accounts decreased at their organizations in 2023. At the same time, 37% of enterprise fintechs and 60% of mid-market banks said they were investing in the implementation of new fraud tools, suggesting that their use of outside technologies may be helping to diminish their fraud volumes. In 2024, more companies are poised to continue their investments in fraud prevention solutions: 75% of companies across all sectors said they plan to invest in an identity risk solution in the next year. Though identity solutions are helping companies make progress in the fight against fraud, certain types of financial crime continue to plague companies. Businesses across the US and the UK ranked authorized push-payment (APP) fraud as their top fraud driver last year by case volume and losses. Looking ahead, US/UK companies ranked AI-driven fraud (24%) as the type of fraud they are most concerned about in 2024. With both APP fraud and AI-driven fraud frequently resulting from scams targeted at individual consumers, many US/UK companies (53%) also plan to invest in anti-scam education tools over the next year. Alloy’s report was fielded in November 2023 and includes respondents from growth fintechs (1-100 employees), strategic fintechs (101-500 employees), mid-market fintechs (501-100 employees), enterprise fintechs (1000+ employees), regional banks (<$10M AUM), mid-market banks ($10B - $50B AUM), enterprise banks (>$50B AUM), credit unions/community banks, and online/pure play lending institutions. The report was conducted on behalf of Alloy by Qualtrics, a leading survey platform that powers more than one billion surveys every year. For more insights, read the full report here. About Alloy Alloy solves the identity risk problem for companies that offer financial products. Today, over 500 banks and fintechs turn to Alloy’s end-to-end identity risk management platform to take control of fraud, credit, and compliance risks, and grow with confidence. Founded in 2015, Alloy is powering the delivery of great financial products to more customers around the world. Learn more at alloy.com.
Learn how fraud impacted banks, fintechs, and credit unions in Alloy's annual fraud benchmark report.
Kyle Caldwell, Senior Vice President of Fraud Product Development at M&T Bank, discusses exploring Identity Verification vendors, striking the tricky balance of risk management alongside positive customer experiences, and how taking big risks in his personal life has paid off.
Check fraud is in its golden age, and fraud risk management has never been more important. Protect your assets with Alloy’s fraud prevention know-how.
Digital security is tightening up, but in-branch banking has become increasingly vulnerable. Join the hundreds of teams powering in-branch and digital onboarding experiences with Alloy’s Identity Risk Solution.
We interview Navan's Head of Risk Management, Rajat Bhatia about the biggest misconceptions about what it means to manage risk at a fast-growing organization.
Banks and fintechs need faster loan origination processes, but different types of credit risk complicate underwriting workflows and create more complexity. An Identity Risk Solution can help.
We chat with Rachel Sapers, Carta's Vice President and Chief Compliance Officer for AML, on how they came to work in risk management, their role at Carta, and their views on the role of risk management in driving business growth.
Alloy Onboarding and NeuroID help Jovia refine their strategic approach to stopping fraud surges
What started as a simple piece of technology has evolved to help banks and fintechs stay ahead of ever-changing fraud risks.
You don’t want to get caught in a fraud attack and then have to scramble to figure out how to respond, build new workflows and integrate with new data providers. We share some tips on how you can stay one step ahead of fraudsters.
Alloy Onboarding helps Elements meet member expectations and stop more fraud at origination.
Keep bad customers out and let the good ones in while bolstering an identity-focused fraud prevention model. What you need is a thorough, automated step-up verification process. Learn more.
Many financial institutions are still using a “Day-2” fraud review process. We explain why Day-2 reviews should be a last resort and how FIs can catch fraud in real-time instead.
Many banks and fintechs are turning to AI as their choice tool to combat the widespread rise in fraud. Meanwhile, fraudsters are leveraging AI to outsmart banks and fintechs. We take a look at the new double-edged sword in fraud-fighting.
What is first-party fraud? Let’s look at some examples, identify key challenges, and find out how to fight back with automated fraud processes, KYC, and ongoing monitoring.
Learn more about recent fraud trends and how these predictions can help you make a better business case for proactive fraud prevention and the anti-fraud tools you need.
Paintbrush founder & CEO Stephen Walter talks about founding a fintech, finding a sponsor bank, and staying compliant as regulatory attention on bank/fintech partnerships intensifies.
We take a look at the evolution of fraud technology over the past two decades to help gain a better understanding of how banks and fintechs can fight fraud, maintain their customers’ trust, and continue to keep up with customer expectations for the onboarding experience—even as new threats emerge.
Do faster payments mean faster fraud? We break down real-time payments and what they mean for your fraud controls.
Tax season brings with it new potential for fraud against Americans, and the numbers reveal that they are both aware of this threat and concerned about it. In this blog, we dig into the data around consumer fraud fears and discuss the repercussions for financial institutions.
There’s been a lot of talk about how customers only want to operate online nowadays. In response, businesses are focused on building or improving their digital experience — and they should be. Gen Z and millennials tend to opt for online experiences before in-person ones, but that doesn’t mean you can forget about your in-person experience.
There's no way to sugarcoat it. Banks and fintech companies alike are getting crushed right now by small business account fraud. In this blog, we break down what types of small business banking fraud to look out for and how to prevent it.
