Bank customers lost N472m to fraudsters in Q1 2023 – FITC

Bank customers in Nigeria lost a total of N472 million to fraudsters in the first quarter of this year, according to the latest banking fraud and forgeries report by FITC.

FITC is a not-for-profit professional organisation with members of the Central Bank of Nigeria (CBN), the Nigeria Deposit Insurance Corporation (NDIC), and all licensed banks in Nigeria.

The report, however, revealed a decline in losses compared to what was lost to fraudulent banking activities in Q4 2022.

According to FITC, a total of N3.18 billion was lost to fraudsters across banking platforms in Q4 2022, which means that the losses declined by 85.13% in Q1 2023.

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The FITC data also revealed that there was a 79.44% decrease in the total amount involved in fraud cases in Q1 2023 compared to the previous quarter. The sum decreased from N12.58 billion to N2.59 billion.

The total number of fraud cases reported in Q1 2023 also declined by 14.07%. According to the report, a total of 12,553 cases were reported in the first quarter of this year compared with 14,609 cases recorded in the preceding quarter.

The numbers in Q1 2023 reveal that of all the fraud activities, mobile, computer/web, and PoSvwere the top three channels with the highest number of fraud occurrences. This is consistent with the trend from the previous quarter.

“For Q1 2023 under review, an analysis of the magnitude-based ranking of fraud categories shows that Mobile Fraud has the highest ranking which accounts for N1.1 billion (42.72%), and this is followed by the Computer/Web fraud category at N646 million (24.99%). This was followed by POS Fraud at N450 million (17.41%) and fraudulent withdrawals at N139 million (5.36%),” FITC stated in the report.”

From the total amount lost in Q1 2023, the data also reveals that mobile fraud accounts for 34.07% at N161 million followed by Computer/web fraud accounting for 27.69% at N130 million and Fraudulent withdrawals representing 24.72% at N116 million.