Invisible Fraud: Detecting Payments Fraud Earlier

Organizations continue to underestimate their exposure to payments and transaction fraud. Organizations that rely on legacy systems—that don’t connect behavior across accounts or channels—may mistakenly think the risk is low because fraud is not visible. At the same time, AI is changing how attacks unfold, giving fraudsters the ability to automate attacks and quickly scale them. 

This report aims to help organizations understand how payments and transaction fraud are evolving, where detection gaps typically form, why these gaps matter, and how AI-driven controls can strengthen risk decisions across the customer journey. It outlines current fraud typologies, demonstrates how industry priorities are shifting, and provides practical guidance on adopting tools that support more effective, efficient detection.

Foreword

This report, sponsored by CSG, explores how payments and transaction fraud are evolving across industries. As payment systems have become more complex, fraud risk has increased. This report further examines fraud detection gaps and why traditional monitoring methods often fail. Javelin Strategy & Research maintains complete independence in its data collection, findings, and analysis.