Home Fraud & Security
Fraud & Security
How criminals try to get at your money, and the rules and technologies that banks and shops use to stop them, explained from zero.
This channel explains how financial fraud works and how the system defends against it: login and payment checks such as strong customer authentication and passkeys, scams that trick you into paying, account takeover, card data security and fake identities, with every number tied to a regulator or official source.
Start here: read these first
Photo: “Old key and laptop” by User:Nikowsk , CC BY-SA 4.0 (edited)
Fraud & Security
In account takeover, a criminal logs in as you. The way they get your login, and how fast you report it, decides how much you can lose.
7 min read
More in Fraud & Security
6 explainers & comparisons
Key terms ↓
Fraud & Security Explainer
A passkey lets you sign in with the same fingerprint, face or PIN that unlocks your phone, without a password or a code a scammer can steal. Here is how it works.
Photo: “FIDO2 USB token” by Yubinerd123 , CC BY-SA 4.0 (edited)
Fraud & Security Explainer
Every business that handles card numbers is expected to follow the same security rulebook. It is not a law, yet it shapes how almost every checkout works.
Photo: “Extra stukje op beveiligde pinautomaat tegen skimmen” by Brbbl , CC BY-SA 4.0 (edited)
Fraud & Security Explainer
Some fraudsters do not steal a whole identity. They invent a person, partly from real data, and patiently build that person a credit history before cashing in.
Photo: “Anthem Breach Notification (17217844508)” by Tony Webster from San Francisco, California , CC BY 2.0 (edited)
Key terms in Fraud & Security
Glossary
The European and UK rule behind the fingerprint or code your bank asks for when you pay online.
Photo: “RSA-SecurID-Token” by Mateusz Adamowski, taken with Canon EOS. , CC BY-SA 1.0 (edited)
Glossary
Why your phone wallet and many online shops never handle your real card number.
Photo: “Tokens from Curragh Camp” by Mx. Granger , CC0 1.0 (edited)
Glossary
The behind-the-scenes conversation between an online shop and your bank that sometimes pops up as a fingerprint or code request.
Photo: “Person using a credit card to make an online purchase on a laptop at home” by Shixart1985 , CC BY 2.0 (edited)
About this channel
# What does this channel cover?Financial fraud comes in two broad shapes. In unauthorised fraud, a criminal uses your card, login or identity without your permission. In authorised fraud, you are deceived into making the payment yourself. The defences are different, and so are the rules on getting money back. Start with strong customer authentication explained to see how European and UK banks check it is really you, then read authorised push payment fraud explained to see why those checks cannot stop a scam you approve.
# Why does fraud keep changing?Security rules work, and criminals adapt. The European Banking Authority and the European Central Bank reported that payment transactions verified with strong authentication were generally less exposed to fraud, yet total reported payment fraud in the European Economic Area still reached €4.2 billion in 2024, with new fraud often aimed at manipulating real customers[1] [2]
Logins are a major target. Our guide to account takeover fraud explains how criminals obtain passwords and one-time codes, and passkeys in banking explains the phishing-resistant sign-in method that banks are adopting in response. Behind the scenes, businesses that handle card numbers follow PCI DSS , and lenders try to spot synthetic identity fraud , where criminals invent a person to borrow money.
# How should you use these guides?Each guide starts with a short answer, defines technical words the first time they appear and links to the glossary for terms such as SCA , 3-D Secure and tokenization . Rules differ by country, so pages say which country or region a rule belongs to, and give the date of the latest official source we checked for rules that are still changing. These pages explain how things work; they do not recommend products or promise that any method makes you completely safe. If you think you have been defrauded, contact your bank directly using contact details you look up yourself.
Sources for this introduction (2)
Other channels How money actually moves when you tap a card, send a transfer or pay with your phone, explained from zero. How banks work today, from the ledger in the back office to the app on your phone, and what protects your money along t… How your bank data and payments can flow to other apps with your permission, the laws that make it possible, and the te… How borrowing works today, from the score that decides whether you are approved to the loan offer hidden inside a check… Why apps ask for your passport, why some transfers get held, and how regulators keep up with new technology, explained … How apps are changing the way people invest and buy insurance, and which rules still protect you when the interface is new.
.jpg){kind=link}
_01.jpg){kind=link}
.jpg){kind=link}
