The digital transformation of payments has been a true catalyst for the region's financial ecosystem, but it has also opened the door to a wave of risks that no one can ignore. In Latin America, fraud in the paytech sector has become a top priority, with rising figures, increasingly sophisticated tactics, and a direct impact on the trust of users and companies. To make the problem visible, inspire solutions, and connect key stakeholders It's not a slogan: it's the condition for continued growth without giving ground to criminals.
This collective effort is already evident in the regional fintech community, where banks, startups, processors, merchants, and technology providers coexist. We're talking about a mature ecosystem that brings together over 40.000 makers and professionals And it seeks, with a team-oriented mindset, to reduce the scope for fraud. Because alongside the boom in digital payments, highly specialized and organized criminal networks have emerged; their activity forces industry players to coordinate better than ever, share early warnings, and raise the bar for security without ruining the customer experience.
A common enemy in the financial ecosystem
During the Latam Fintech Market in Barranquilla, Colombia, leading voices in the sector highlighted an uncomfortable reality: the frauds affecting users of banks, fintech companies, and financial institutions across the region These are not a collection of isolated incidents, but rather the visible face of a common threat. The diagnosis was clear: if scammers are collaborating and selling their "services" online on a regional scale, the relevant authorities must respond in a coordinated manner with a shared strategy. Otherwise, the majority of victims will continue to receive no redress.
It was noted in that forum that in countries like Colombia, these processes have been consolidated. highly professional networks They operate multiple fraud schemes, from identity theft using forged documents to the use of informal databases. It's a qualitative leap: we're no longer talking about rudimentary scams, but about structures with logistics, a division of roles, and catalogs of tools.
The situation is not so different in Mexico, where identity theft, "gota a gota" loans, and attacks based on fraudulent calls, messages, or emails that exploit social engineering are common. Emptying an account in a matter of minutes is perfectly possible When an attacker obtains credentials or skillfully induces error. Hence the central message: curbing fraud is not a secondary objective, it is a prerequisite for maintaining the trust that makes digital business viable.
AI and deepfakes: the playing field has changed
The other major element worrying the industry is the malicious use of artificial intelligence. It's no longer just about poorly written emails: now there are very well-produced videos, voices, and images of supposed public figures circulating, inviting people to invest in... fake apps or fraudulent schemesThat layer of realism—the famous deepfakes—multiplies the success rate of scammers and complicates verification for the average user.
Experts in the digital identity sector warned that AI, with its enormous positive potential, He is also perfecting his attacksThis forces financial institutions to stay several steps ahead, strengthening controls and early detection without turning every transaction into an ordeal for the customer. The bar has been raised, and risk teams must rise with it.
Recent figures that illustrate the escalation
Data from various sources show a sustained rebound. In the first half of 2024, a 32% increase in fraud compared to the same period in 2023with a 113% jump in malware. Furthermore, 79% of attacks originated from mobile devices, and within that group, 30% arrived specifically through mobile browsers, an unusual pattern compared to Asia or Europe.
The trend continued in the second half of 2024: a 17% increase was observed compared to the previous year. And in the first four months of 2025, a further increase is already emerging. 7% more cases than in the first half of 2024Added to this are alerts such as the 140% increase in scams based on fake messages in the region, which confirms that the "messaging" vector remains a priority battleground.
The reading is unequivocal: Latin America is experiencing a mobile-first scenario also in fraud, where the phone is both a financial management tool and preferred entry point for attackersMobile browsers, apps, SMS and instant messaging have become the channels most exploited by criminals.
A regional map: not everyone faces the same challenge
Paytech fraud is not evenly distributed. Each country exhibits distinct patterns and nuances. depending on their digital maturity, their regulation, and the evolution of organized crime. Understanding these differences is key to avoiding generic solutions that, in practice, leave loopholes.
In Argentina, guided scams based on social engineering and the use of informal databases predominate; in Uruguay, the following stand out: mobile malware and phishingIn Colombia, pyramid schemes have flourished, exploiting regulatory gaps; and in Mexico, in addition to advanced attacks, ring fraud networks and the use of deepfakes have been detected. Operating in multiple countries means facing a rapidly evolving mosaic of threats.
Most common types of fraud (and their figures)
Phishing
Scammers send legitimate-looking emails or messages to steal passwords or credit card information. In 2023, the Phishing was present in 44% of online fraud in the region, according to widely cited industry estimates. The combination of brand impersonation and urgency continues to be effective.
vishing
These are phone calls in which the criminal impersonates staff from an organization to obtain sensitive information. In 2023, around 30% of telephone fraud complaints In Latin America, they were linked to this vector, according to data released by regional banking associations.
Smishing
SMS messages with phishing links or data requests. Smishing represented around 25% of message fraud attempts in the region in 2023, according to reports from cybersecurity companies that monitor this channel.
E-commerce fraud
Online shopping with stolen credentials and use of compromised cards. In 2023, approximately 32% of reported cases e-commerce involved stolen card data, according to specialized analyses of the payments sector.
Fraudulent electronic transfers
Unauthorized access to accounts to move funds. In 2023, around 20% of financial fraud complaints In the region, it was linked to malicious electronic transfers, according to records from security firms with global coverage.
Manipulation of QR codes in stores
The attacker replaces the legitimate QR code with one that diverts the payment to their account. With the expansion of this payment method, incidents at checkout counters and on billboards are proliferating. Rotate codes and validate them dynamically It becomes essential to avoid handing over the collection to a third party.
When the security provider fails: the lesson of a global outage
For fintech companies and transactional banks, which thrive on trust, the impact of such an event is not merely technical. It can involve the unavailability of critical services, data exposure, and reputational damageAnd that's where speed of response, communication with clients, and coordination with partners make the difference between an anecdote and a prolonged crisis.
Transactional areas process an enormous volume of operations daily; a stoppage of even a few hours can result in considerable losses and locked-out users. Industry experts, such as technology executives from regional companies, emphasized that understand the chain of dependencies (suppliers, integrations, tools) and designing “plan B” is as important as preventing the original attack.
What to do? Invest in cutting-edge security technology, continuously train teams, monitor with metrics that anticipate anomalies, and collaborate with other companies to share intelligence. Strong authentication (2FA/MFA) and its use cases —from payments to new customer sign-ups— are no longer an extra, but the foundation of the model.
Multi-layered defense strategies that work
The most effective approach combines prevention, detection, and response. Many fintech companies are already implementing preventative measures. automated blocking of malicious trafficDigital fingerprinting of devices and dynamic validations that adjust to risk in real time. If something seems suspicious, invisible blocks are activated that don't affect the legitimate user.
Artificial intelligence is the lever that allows these capabilities to be scaled: predictive models for scoring, user validation and business tracking, as well as automated assistants for customer service and financial simulations with continuous learning. Defensive AI increases the accuracy of decisions and reduces friction where it is not needed.
At the infrastructure layer, the use of cloud platforms with a strong regional presence—for example, AWS—facilitates scale with safety and real elasticityLaunching products in new markets and absorbing peak demand without compromising control. This combination of agility and governance is critical in geographies as dynamic as those in Latin America.
The organized response includes coordination with prosecutors and legal teams, supported by forensic evidence that allows for reporting and prosecuting the crime. Several companies are also building their own infrastructure for critical processes (validations, marketing campaigns, and transaction verification) with the dual objective of strengthening security and optimizing costs.
Finally, the idea of a massive network where institutions share information about repeat offenders who have defrauded multiple companies is gaining traction. Promoting a public policy that makes the fight against fraud interoperable This would prevent the "cascade" effect, in which one person impacts many entities in a short period of time.
Best practices for users and businesses
For customers and savers, the essential guidelines remain in place: be wary of alarmist messages, carefully review emails, verify that firms and platforms are authorized, call the institution before investing or obtaining financing, and Never hand over confidential information to third parties. Education remains the first line of defense.
On your phone, it's advisable to keep the system updated, avoid downloading apps from links in messages, and be wary of SMS messages that ask for credentials. do not scan QR codes that don't come from reliable sources. If something seems suspicious, it's better to stop and double-check than to follow a link hastily.
For businesses, the priority is to secure both the online channel and the physical point of sale: using anti-fraud rules and additional verifications in e-commerce, setting up alerts for suspicious patterns (for example, repeated openings or attempts from the same IP), and periodically audit signage with QR codes to prevent substitutions. Rotating QR codes and adding dynamic mechanisms helps to thwart tampering.
Latin America is organizing: community and shared knowledge
The fight against paytech fraud in the region is already a collective project. Forums, associations, and communities that They make visible, inspire, and connect. The entire ecosystem is accelerating the exchange of best practices. It's no coincidence that tens of thousands of professionals—that community of more than 40.000 "makers"—are seeking joint solutions and sharing risk indicators.
There is also an eye on payment and security providers who, as various companies in the sector—including payment gateways and specialized firms—point out, They are committed to strengthening the transactional environment With more controls, observability, and coordinated responses, collaboration with digital security experts allows for the enhancement of internal capabilities and shorter reaction times.
Looking at the whole picture, the region is learning quickly and adjusting the balance between user experience and security in an environment of increasingly sophisticated attacks. If the industry maintains multi-layered defense, effective collaboration, and innovation in AIFraud will lose ground and trust in digital payments will grow on a more solid foundation.
