Online Payment Fraud Detection Market Report 2026

The online payment fraud detection market size has grown rapidly in recent years. It will grow from $11.16 billion in 2025 to $13.02 billion in 2026 at a compound annual growth rate (CAGR) of 16.6%. The growth in the historic period can be attributed to rising volume of online transactions, increased incidence of card not present fraud, growth of e-commerce platforms, expansion of digital payment ecosystems, early adoption of rule-based fraud systems.

The online payment fraud detection market size is expected to see rapid growth in the next few years. It will grow to $23.84 billion in 2030 at a compound annual growth rate (CAGR) of 16.3%. The growth in the forecast period can be attributed to increasing sophistication of cyber fraud techniques, rising demand for real-time fraud prevention, expansion of digital wallets and instant payments, growing regulatory scrutiny on payment security, continuous advancement in machine learning algorithms. Major trends in the forecast period include increasing adoption of ai-driven fraud detection models, rising use of behavioral biometrics in payments, growing integration of real-time transaction monitoring, expansion of multi-layer authentication frameworks, enhanced focus on cross-channel fraud prevention.

The rapid growth of digital payments is expected to drive the expansion of the online payment fraud detection market. Digital payments involve the use of electronic methods such as mobile wallets, online banking, and contactless cards to conduct financial transactions. This surge in digital payment adoption is largely fueled by increased smartphone and internet usage, allowing users to perform instant transactions worldwide with convenience and speed. Online payment fraud detection plays a critical role in securing these transactions by leveraging AI and analytics to detect and prevent suspicious activity in real time, thereby enhancing trust, minimizing financial losses, and ensuring secure, compliant payment experiences. For instance, in January 2024, the European Central Bank, the central bank for the European Union countries, reported a 24.3% increase in contactless card payments during the first half of 2023, rising from 20.9 billion in the same period of 2022. The total value of these transactions also grew by 25.9% to €0.5 trillion ($545.27 billion). Thus, the rapid expansion of digital payments is fueling growth in the online payment fraud detection market.

Major companies operating in the online payment fraud detection market are focusing on developing advanced technologies, such as AI-powered anomaly detection, to improve real-time monitoring, strengthen payment security, and minimize financial losses from increasingly sophisticated fraud schemes. AI-powered anomaly detection is a technology that analyzes large volumes of transaction data to identify unusual patterns, flag suspicious activities, and enable proactive decision-making by financial institutions. For example, in October 2024, the Society for Worldwide Interbank Financial Telecommunications (SWIFT), a Belgium-based financial messaging cooperative, launched its AI-enhanced fraud detection service to help banks detect and prevent potential financial crimes across cross-border payments. Available from January 2025, the solution utilizes pseudonymized data from billions of annual payment transactions to identify anomalies in real time and employs advanced federated learning techniques to enable collaborative, privacy-preserving fraud detection across more than 11,500 financial institutions globally. Designed to enhance trust and resilience in international payments, the system provides banks with more accurate insights to counter evolving fraud tactics and safeguard global financial flows.

In April 2025, Experian Plc, a credit reporting firm based in Ireland, acquired ClearSale SA for $350 million. The acquisition is intended to enhance Experian’s fraud prevention and data security offerings in Brazil by integrating ClearSale into its existing Brazilian business, Serasa Experian. ClearSale SA is a Brazil-based company that specializes in digital fraud prevention solutions.

Major companies operating in the online payment fraud detection market are International Business Machines Corporation, Visa Inc., DXC Technology Company, Experian plc, SAS Institute Inc., LexisNexis Risk Solutions Inc., NICE Ltd., Worldpay Inc., ACI Worldwide Inc., Fair Isaac Corporation, Forter Ltd., RSA Security LLC, Riskified Ltd., CyberSource Corporation, Sift Science Inc., Kount Inc., Gurucul Inc., FRISS Fraud Detection Software B.V., MaxMind Inc., DataVisor Inc., Cleafy S.r.l.

North America was the largest region in the online payment fraud detection market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the online payment fraud detection market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the online payment fraud detection market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The online payment fraud detection market includes of revenues earned by entities by providing services such as real-time transaction monitoring, Artificial Intelligence (AI)-based fraud analytics, behavioral biometrics, identity verification, and risk scoring and management. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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