The compliance paradox: More checks, more fraud
The teller does not sound accusatory. The tone is worse than that. It is procedural. A man in his thirties slides his phone across the counter and points to the screen, a transfer that never arrived, a balance that will not move. The teller looks past the story and into the system. The account is […] The post The compliance paradox: More checks, more fraud appeared first on e27 .
A new consumer study reveals that nearly two-thirds of people in the Asia-Pacific region believe scams are increasing, with over a third reporting a significant rise. More than a quarter of those targeted have lost money, with phishing and payment scams dominating the threats. Gen Z, often considered digitally fluent, reports the highest exposure to deepfake and QR-code phishing scams at 23 percent each.
Despite increased verification measures, fraud continues to rise, creating a paradox where more checks lead to more fraud. Victims experience emotional distress, including anger, anxiety, and a loss of trust, which can change their behaviour. The fraud response has become more friction-filled, but this often shifts the cost of security to the wrong people and moments.
The best scams now look like professional, reliable administration rather than obvious criminal activity. AI has made scams more realistic and easier to execute on a large scale. As controls become more stringent, honest users feel less free while fraudsters remain agile. Victims often feel like suspects, trapped in bureaucratic loops while the perpetrators disappear.
Written by urgent.news from e27's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
