Banks Face Rising Unauthorized-Party Fraud Losses

PYMNTS Intelligence and Block's 2025 report, based on a survey of 200 U.S. financial-institution executives, finds unauthorized-party schemes now drive 71% of fraud incidents and losses, up from 48% last year. Average fraud losses rose to 0.8 basis points (large banks above 3.5 bps); 68% increased detection spending and 70% use AI or behavioral analytics, with about half planning cloud platforms and more outsourcing.