Why Fraud Is Rising and What We Can Do About It

The Bank of Jamaica's 2024 Financial Stability Report revealed a staggering rise in internet banking fraud: nearly 900% since 2020, resulting in more than JMD 330 million in losses. As digital banking becomes more deeply embedded in everyday life, the sophistication and frequency of cyberattacks are accelerating. This is a call to action.

Recent events have accelerated several key drivers behind this trend, including the rapid expansion of online financial services during the COVID-19 pandemic. The widespread adoption of mobile apps and digital onboarding processes has inadvertently widened the attack surface for fraudsters.

Tactics like phishing, credential theft, and malware continue to dominate. In many cases, login credentials are obtained through social engineering or harvested from the dark web. Meanwhile, users may not take full advantage of protective measures such as multi-factor authentication or transaction alerts, increasing their vulnerability.

Emerging reports also show that fraud is not confined to remote threats. Incidents involving external actors and insiders, such as a recent case resulting in 14 arrests and losses totalling JMD 47.5 million, indicate that local financial ecosystems are also under pressure.

While large financial institutions often have more resources to detect and respond to cyber threats quickly, smaller banks and credit unions may face constraints in scaling up their defences. Yet, both are affected by the evolving nature of fraud. The difference lies not in the importance of cybersecurity, but in the means available to implement it. As cybercrime becomes more advanced, the financial sector must ensure that digital security is not considered a premium offering but a fundamental necessity. A resilient banking system requires institutions of all sizes to remain equipped, informed, and proactive in addressing fraud.

Technology, particularly artificial intelligence (AI), plays an increasing role in detecting suspicious activity and preventing fraud in real-time. However, as defensive systems evolve, so too do the tools used by cybercriminals. Techniques such as AI-powered attacks, deepfakes, and automated social engineering are on the rise, adding complexity to the fight against fraud. This means institutions must now focus on building more advanced tools and more resilient and ethical systems for fraud detection.

Here at Symptai, we continue to work with our clients to reduce risk through services such as penetration testing, digital forensics, and incident response planning. At the same time, we remain committed to public education, reinforcing the need for customer awareness and shared accountability.

To reduce internet banking fraud risk, take immediate, practical steps.

For Individuals:

• Enable multi-factor authentication on all banking platforms

• Monitor financial accounts regularly and turn on transaction notifications

• Avoid using your primary email address for financial services

• Use credit cards rather than debit cards for online transactions when possible

• Set transaction limits and deactivate unused accounts or cards

• Confirm suspicious messages or phone calls directly with your financial institution.

For Organisations:

• Conduct regular risk assessments and penetration tests

• Implement robust endpoint protections

• Develop a clear incident response plan

• Educate employees and customers on common fraud tactics

The rising tide of online banking fraud is not just a technical issue; it's a shared societal challenge that demands urgent and coordinated action. As threat actors grow more innovative, so too must our defences. Whether you're an individual managing your personal finances or an organisation safeguarding thousands of customer accounts, now is the time to act. Prioritise cybersecurity education, invest in stronger systems, and embed fraud prevention into everyday operations. Don't wait for a breach to take fraud seriously.

Reach out to Symptai to learn how we can help you build a more secure digital future, because prevention is not optional when it comes to financial fraud.