New data from TrustPair’s 2025 Fraud Trends and Insights report highlights the growing trend of AI-driven fraud, with findings showing a 118% year-over-year increase in advanced generative AI tactics like deepfakes and deepaudio. This surge coincides with a sharp rise in cyber fraud incidents, as 90% of the 200 executives surveyed in the report said they were targets of cyber fraud in 2024, up from 79% in 2023. 

While extracting data and committing fraud via generative AI and new technologies should be top of mind for CFOs, more traditional forms of fraud still dominate. Business email compromise scams increased 103% year-over-year and remained the top fraud tactic used against companies in the report. 

The complexity of these tools is also creating new challenges for companies. Almost a quarter (24%) of organizations reported experiencing generative AI-driven fraud, including deepfakes. To add to the concern, nearly a fifth (17%) of respondents said they had encountered fraud that directly used their video conferencing tools. 

There was also a 47% increase in vendor fraud between 2023 and 2024, highlighting risks associated with third-party leveraging and outsourcing, particularly during cost-cutting initiatives. A quarter (25%) of respondents said they believe third-party relationships and changes in their supply chains will put their organizations at greater risk in 2025. 

Surveyors further emphasized AI’s ability to identify vulnerabilities within an organization with “greater precision and speed,” leading to unprecedented levels of financial losses. In 2024, 86% of companies experienced some form of monetary loss, and nearly half (47%) lost over $10 million. Nearly all losses (95%) stemmed from cyber-related fraud. 

Despite the prevalent risk many companies face, fraudsters’ evolving tactics currently outpace organizational efforts to protect against them. Sixty-nine percent of companies said they still rely on manual fraud prevention such as callbacks and email verifications to counter modern threats. Just over a quarter (26%) of respondents said they employ fraud prevention-specific software. 

Beyond the vulnerabilities and outdated tactics leaving data and capital at risk during the payment process, business leaders also cited concerns over reputational damage. More than half (53%) said fraud or a data breach could impact customer trust, while 49% pointed to potential investor concerns and 48% flagged risks to supplier relationships.