Surge in Payment Fraud Hits Irish Consumers Hard
The financial landscape in Ireland faced a significant challenge this past year as the cost of payment fraud soared by 27% to a staggering €179 million, according to the latest figures from the Central Bank. Despite a minimal rise in the overall number of fraudulent transactions, the financial impact was considerably larger, affecting one in every 10,000 payment transactions.
International Dimensions of Fraud
Fraudulent transactions involving accounts outside Ireland dominated the scene, accounting for a hefty 69.8% of the total fraudulent payment value, which translates to €124.89 million in 2025, as per the annual Payment Fraud Statistics. This highlights a worrying international dimension to the problem.
Cheques and Credit Transfers: High Value Targets
The average value of fraudulent payments varied significantly based on payment methods. Cheques, despite a lower fraud rate, recorded the highest average fraud value at €9,741. Not far behind, credit transfers saw the second-highest average fraud value at €2,412, reflecting the vulnerability of these traditional payment methods in 2025.
E-Money Institutions on the Rise
E-money payments exhibited strong growth in fraud, surging by €14.79 million (57.7%) to reach €40.42 million. This marked the second consecutive year of notable increases for e-money institutions, with the average payment value rising sharply from €692 in 2024 to €1,427 in 2025.
Trust Manipulation: The New Face of Fraud
A significant rise was noted in authorised push payment fraud, or ‘manipulation of the payer fraud’, where fraudsters deploy social engineering tactics to deceive consumers into authorising payments. This type of fraud now comprises 45% of total fraud by value (€74.86 million), up from 35.2% in 2024. It is particularly prevalent in credit transfers, representing 67.2% of all credit transfer fraud.
Card and Contactless Fraud
Physical point-of-sale terminals fell victim to 57,000 fraudulent transactions, amounting to €5.61 million. Meanwhile, contactless payments reported 54,000 fraudulent instances, including 48,000 mobile wallet transactions. Fraud involving the ‘issuance of payment orders by the fraudster’ emerged as the largest type by value, totaling €91.32 million. Within this category, card details theft accounted for a significant portion, with fraudsters acquiring personal security details like PINs or passwords.
Central Bank Concerns and Consumer Advice
Colm Kincaid, Deputy Governor for Consumer and Investor Protection at the Central Bank of Ireland, expressed concern over the sophistication of fraudsters. He emphasized the need for financial firms and technology companies to enhance systems and controls to prevent such incidents effectively. Additionally, he urged firms to provide timely support to affected consumers.
A critical issue raised by Central Bank research is that 38% of financial fraud victims never report their experiences, reducing their chances of financial recovery. By reporting fraud promptly, victims not only protect themselves but also aid financial service providers in identifying and mitigating fraud patterns, ultimately safeguarding other consumers.
For more details on the report, visit Irish Examiner.
