KEY FACT
AI-powered systems can now detect and freeze fraudulent accounts within 15 minutes
FRAUD AND ID VERIFICATION
I N C I D E N T R E H A S T R A N S F O
US $ 12.5bn
Consumer fraud losses jumped 25 % to $ 12.5 billion in 2024
KEY FACT
Source: FTC
AI-powered systems can now detect and freeze fraudulent accounts within 15 minutes
Consumer fraud losses surged 25 % to US $ 12.5bn in 2024, according to the Federal Trade Commission, marking a watershed moment for financial institutions worldwide.
The difference between swift action and delayed response now determines whether firms contain a breach or watch it spiral into catastrophic losses.
For financial services firms, incident response has transformed from a reactive afterthought into a critical operational capability.
It encompasses the coordinated activities undertaken in the immediate aftermath of suspected fraudulent activity – from initial detection through investigation, customer communication, and ultimate resolution.
Bank Director’ s 2025 Risk Survey reveals that 94 % of banks have been directly impacted by check fraud alone in the past 18 months, underlining just how high the stakes have become.
The Federal Trade Commission’ s data shows a concerning trend: 38 % of fraud victims now lose money, compared to just 27 % in 2023.
168 October 2025