Fraud has increased dramatically in recent years, and all indications are that this trend will continue. We have listed the most common types of fraud.

External fraud

Fraud has increased dramatically in recent years, and all indications are that this trend will continue. Today, limited companies are a natural part of the criminal's arsenal. It is estimated that at least five percent of all companies that are started are started for criminal purposes. In other words, the risk of encountering a criminal company is not entirely non-existent. Fraudsters can also buy a company with a good track record, complete with bank account and an approved credit rating.

There are trends in different types of fraud. CEO fraud peaked around 2016/2017, but of course still occurs today. Fake invoices, misleading sales, identity theft.

The clearance rate is also low – around 10 percent of fraud crimes are solved. Misleading sales are a major problem, where people enter into agreements that they did not intend to enter into. Many of these companies end up on warning lists and are labeled as scam companies, but many companies and organizations are deceived along the way.

Another challenge is that many fraud cases are not reported, which means that the number of unreported cases is high. This is partly because companies do not want to publicize large losses and weaknesses in their business structure. Another reason is that companies are unaware that they have been victims of fraud. They simply do not detect the fraud and treat it as a traditional credit loss. Analyses have shown that 10 percent of all credit losses are due to fraud.

Internal fraud

The largest number of unreported cases is likely to be found in internal fraud, i.e., an employee committing fraud against their employer.

There are also other types of fraud, such as changing account details for a supplier in the supplier register, replacing it for one payment, and then changing it back.

There are also examples of when a purchaser in an organization exploits their position and authority and colludes with a supplier who sends invoices for goods or services that never reach the company. The common thread in these examples of internal fraud is that the employee has a position and authority that makes it possible.