Digital scams continue to multiply and generate billion-dollar losses for Brazilian e-commerce

The digital era, marked by increasing connectivity, brought with it a series of benefits for society. However, the dark side of this reality is the proliferation of digital scams that continue to multiply in the online environment. So much so that Brazil has established itself as one of the main targets of digital frauds in Latin America, with a concerning increase in recent years. Losses in Brazilian e-commerce reached R$ 8.5 million, and 64% of companies have already been victims of cyberattacks, according to the most recent survey from the Digital Security Barometer – by MasterCard.

In other words, every conscious company needs to understand the details of how these crimes have evolved and what the main challenges are in combating them, and this is where companies like PH3A come in, an authority in technology, a company dedicated to developing solutions, such as DataFraud, which has helped to mitigate the volume of electronic fraud occurrences.

But, ultimately, what are the main types of digital scams nowadays? Paulo Cesar Costa, CEO and founder of PH3A, reveals:

• Phishing:Deception through emails, text messages, or fake websites to obtain personal and financial information. In other words, the received message contains some link as a trap.
• MalwareInstallation of malicious programs on computers or mobile devices to spy, steal data, or hijack systems. So, once again the link leads to a trap.
• Social engineeringPsychological manipulation to induce people to provide confidential information or to perform actions that benefit criminals. Thus, the most innocent or well-intentioned people end up falling for scams.
• Social media scamsHits that exploit interactions on social networks to obtain personal or financial data. In this case, social media are also a fertile ground for criminals to promote their digital scams.
• Messaging app scamsThose who take advantage of messaging apps to carry out scams, such as the fake kidnapping. Logo, messaging apps can also be a source of fraudulent communication that deceives users.

And what factors have been driving the growth of scams? According to Paulo Cesar, there are several factors that contribute most to the increase in digital scams, including:

• Popularization of the internetThe increasing use of the internet and mobile devices makes the population more vulnerable to cyberattacks. In other words, with more Internet use, more opportunities for criminals to act.
• Lack of awareness:Many people are still unaware of the risks of the internet and do not adopt adequate security measures. So, negligence becomes a dangerous component.
• Sophistication of criminalsDigital criminals are becoming increasingly sophisticated and are using more and more elaborate techniques to deceive their victims. Thus, internet usage intelligence ends up happening on the side of security as well as crime.
• Security flawsSecurity vulnerabilities in systems and applications can be exploited by criminals to gain access to personal and financial data. Logo, all types of security technology should be considered to anticipate criminals.

Regarding the consequences of digital scams, the PH3A executive states that there is a wide variety of frauds in the online environment, with a significant reach. Thus, digital scams can cause various damages to victims, such as:

• Financial loss: The main loss is the loss of money, which can be significant in some cases.
• Damage to reputation: Disclosing personal information can compromise the victim's reputation.
• Emotional disorders:Victims of digital scams may suffer emotional disorders, such as anxiety and depression.

Costa also shares what to do to protect yourself, starting with adopting some safety measures:

• Keep your software up to date: Keep your operating system, antivirus, and other software up to date to fix vulnerabilities.
• Create strong and unique passwords: Use strong, unique passwords for each online account and avoid reusing passwords.
• Be wary of suspicious emails and messages: Do not click on links or open attached files in emails from unknown senders.
• Verify the authenticity of websites: Make sure the website you are accessing is secure before entering personal information.
• Use a quality antivirus: Install a good antivirus and keep it updated.
• Keep your operating system up to date: Keep your operating system updated to fix vulnerabilities.
• Do not share personal information on social networksAvoid sharing too much personal information on social media.

And he also emphasizes: "Among the solutions to ensure data security and prevent significant losses, it is necessary to use Big Data systems, which allow continuous and automatic monitoring and cross-referencing of data to validate information or abort potentially fraudulent situations," explains the CEO of PH3A. For example, fraud prevention systems allow identifying whether the e-commerce buyer is indeed themselves and not impersonating someone else. And in case of doubts, generate a quiz with some questions like: what car did you have 5 years ago, what job did you have 5 years ago, who is your neighbor on the right side of your residence, which websites did you visit yesterday, etc. These are questions that no fraudster can answer accurately.

To conclude, the businessman adds that it is a fact that authorities and companies also have a fundamental role in preventing and combating scams, and technologies, including data technologies, emerge as a great ally, as they have the role of automatically checking information.

“And this routine is a great advantage for any and all electronic retail”, concludes Paulo Cesar Costa.