The analysis depicts cybercrime as a well-organized, global endeavor powered by networks of organized criminal groups. Fraudsters are able to harness stolen identity data to launch corresponding cross-border fraud attacks with an estimated cost of $600 billion or 0.8% of global income a year.
With $2 trillion in stimulus payments under the Coronavirus Aid Relief and Economic Security Act, the ability to harness intelligence related to devices, location, identity and behavior to combat fraud is critical, said Haywood Talcove, CEO, Government, LexisNexis Risk Solutions and LexisNexis Special Services Inc.
“To minimize improper payments, government agencies need to apply velocity checks as well as advanced tools that monitor for the data that bots can’t fake, for example, movement, if that attack is coming from a mobile device,” he said.
Fraudsters are migrating attacks to exploit the mobile channel: Of the 19 billion transactions recorded by the LexisNexis Digital Identity Network in this 6-month period, mobile attacks outpaced desktop attacks for the first time, with a 56% growth in the mobile attack rate year-over-year.
“Technology has changed since the last time there was a large-scale stimulus with Hurricane Katrina,” Talcove said. “Today the private sector employs technologies with a multi-layer, multi-factor approach to make payments frictionless and secure so the right people receive the money they need. The layering of next generation fraud defenses creates the opportunity to mitigate cybercrime.”