Online fraud is everywhere. It can affect anybody. In this article, we look at what steps tech companies are taking to deal with online fraud.
Fraud has been one of the biggest crimes in modern society for decades. The thing about fraud is that it can take many different forms. Some criminals take out credit cards and loans in your name, whereas others use your identity to commit crimes.
Online fraud has sharply risen in the last decade. As online banking and retail services become common practice, the potential for online fraud rises. We’ve seen a lot of people being investigated for fraud as victims of someone else’s actions. To try and help, we thought we would talk about what tech companies are doing to combat online fraud.
What is Online Fraud?
Online fraud is any fraudulent activity committed using the internet. Online fraud can cover both identity theft and financial fraud.
There are multiple types of online fraud. This can range sharply from viruses that attack computers to retrieve personal information from the user to email schemes that encourage victims to send money to fraudulent charities or sources.
The biggest challenge with online fraud is the fact that techniques and methods are constantly evolving. Cybercriminals are becoming increasingly sophisticated, employing new methods and technology to try and commit fraudulent activity.
The Damage of Online Fraud
Online fraud can be damaging for anybody who is a victim to it. There are numerous consequences to come from fraudulent activity online.
Obviously, there are financial losses that a person can receive. A criminal will have no misgivings when it comes to taking everything you have. They may empty your bank account or apply for several loans in your name, landing you in massive debt.
There are also mental health issues to consider. Being the victim of fraud can cause severe anxiety and even depression.
Examples of Online Fraud
Let’s take a look at a few examples of online fraud.
In the first example, pretend somebody emails you, masquerading as your bank. They tell you there is a security breach on your account, and you need to log in using the link they provide to confirm your details. However, when you log in, your banking details are stolen by criminals.
In a second example, somebody contacts you pretending to be from a charity. They tell you that they are looking for donations to save the life of a dying child. Because you are a compassionate person, you donate £20. There is no dying child; it is fraud.
What Measures Are in Place to Protect You?
To try and protect users from the risk of fraud, there are many different safety precautions implemented by tech companies.
For example, there are some companies that send you a warning message before you make a transaction. Others will insist on texting you a secure access code using two-factor authentication. These measures are designed to prevent transfers of money or purchases that are fraudulent.
There are some programs and processes in place that automatically block any transaction considered to be suspicious, like purchasing a gift card. In some cases, you will be required to re-enter your personal information to confirm the transaction.
Final Thoughts
Online fraud is one of the greatest challenges in our time. Despite every attempt to try and combat it, the method employed by criminals to commit fraudulent activity online grows increasingly sophisticated every day.
Luckily, tech companies are aware of the challenges we face as consumers and are actively developing new methods to combat these threats every day. With that being said, it is vital to stay vigilant in the face of threats to your security because they are everywhere.
With that being said, there is a degree of personal responsibility that falls to each individual. It’s important to be conscious of threats to your security and life. If an email or communication seems suspicious, don’t engage with it. It’s up to you to recognise potential threats and learn how to safely avoid them because there is only so much that protection from tech companies can do.
Please be advised that this article is for general informational purposes only, and should not be used as a substitute for advice from a trained legal professional. Be sure to consult a lawyer/solicitor if you’re seeking advice on online fraud. We are not liable for risks or issues associated with using or acting upon the information on this site.
