PUBLISHER: The Business Research Company | PRODUCT CODE: 1750932
PUBLISHER: The Business Research Company | PRODUCT CODE: 1750932
Buy now, pay later (BNPL) fraud prevention refers to the strategies and measures implemented to safeguard BNPL transactions from fraudulent activities. The objective is to stop fraudsters from exploiting the BNPL model which enables consumers to pay in installments while maintaining secure access for legitimate users.
Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report's Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.
The primary offerings in BNPL fraud prevention include solutions and consulting services. Solutions encompass products, tools, or strategies designed to effectively and efficiently address specific fraud-related challenges across various industries. These solutions can be deployed either in the cloud or on-premises and are used to combat threats such as new account abuse, synthetic identity fraud, account takeovers, fraudulent chargebacks, transaction laundering, and more.
The buy now, pay later (BNPL) fraud prevention market research report is one of a series of new reports from The Business Research Company that provides buy now, pay later (BNPL) fraud prevention market statistics, including buy now, pay later (BNPL) fraud prevention industry global market size, regional shares, competitors with a buy now, pay later (BNPL) fraud prevention market share, detailed buy now, pay later (BNPL) fraud prevention market segments, market trends and opportunities, and any further data you may need to thrive in the buy now, pay later (BNPL) fraud prevention industry. This buy now, pay later (BNPL) fraud prevention market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The buy now, pay later (BNPL) fraud prevention market size has grown exponentially in recent years. It will grow from$3.99 billion in 2024 to $4.97 billion in 2025 at a compound annual growth rate (CAGR) of 24.8%. The growth during the historic period can be attributed to the rising demand for digital identity solutions, the surge in ransomware attacks, the proliferation of mobile devices, increasing use of buy now, pay later services, and the implementation of high security standards.
The buy now, pay later (BNPL) fraud prevention market size is expected to see exponential growth in the next few years. It will grow to$11.92 billion in 2029 at a compound annual growth rate (CAGR) of 24.4%. Growth in the forecast period will be driven by an increasing number of cross-border transactions, a rise in targeted cyberattacks, the growing use of synthetic identities, escalating security threats, and the expansion of contactless payment methods. Key trends expected during this period include enhanced threat detection, government initiatives promoting cloud adoption, the rise of multi-cloud environments, integration of blockchain technologies, and the adoption of hybrid cloud deployments.
The rapid rise in digital payments is expected to significantly boost the growth of the buy now, pay later (BNPL) fraud prevention market in the coming years. Digital payments refer to financial transactions conducted electronically, using mobile wallets, credit/debit cards, online banking, and contactless methods, without physical cash. The increasing use of digital payments is primarily driven by the widespread adoption of smartphones and improved internet connectivity, which make transactions more accessible and convenient at any time and place. BNPL fraud prevention solutions are essential in this space, as they help detect and stop unauthorized or fraudulent activities, safeguarding both merchants and consumers from potential financial losses and reputational harm. For instance, in March 2025, Visa Inc., a US-based payments technology company, reported that its Tap to Phone service in the UK experienced a 320% growth in 2025, outpacing the global adoption increase of 200% over the past year. Consequently, the rise in digital payments is fueling the expansion of the BNPL fraud prevention market.
Leading players in the BNPL fraud prevention market are investing in advanced technological solutions, particularly those powered by machine learning, to enhance real-time detection and prevention of fraud. These machine learning-based systems are designed to analyze behavioral patterns and identify suspicious transactions dynamically, allowing for continuous adaptation to evolving fraud tactics. For example, in February 2022, Outseer, a US-based fraud prevention company, introduced Outseer Emerging Payments, a machine learning-integrated fraud prevention tool. This solution is tailored to meet the growing demand for installment-based payments and offers continuous authentication throughout the digital payments process. By securing every stage-from user enrollment to transaction management-Outseer effectively mitigates a broad range of fraud risks beyond traditional card-not-present (CNP) scenarios, delivering robust, end-to-end protection for BNPL users.
In December 2024, Scalapay S.r.l., an Italy-based fintech firm specializing in BNPL services, partnered with Trustfull to enhance its fraud prevention measures across Europe. This collaboration leverages Trustfull's Identity Intelligence platform to ensure secure transactions and minimize fraud-related risks for both merchants and consumers. Through advanced identity verification and digital footprint analysis, the partnership bolsters Scalapay's security infrastructure, enabling more reliable and trustworthy BNPL services. Trustfull, also based in Italy, specializes in digital footprint analysis to support identity validation and fraud detection in digital transactions.
Major players in the buy now, pay later (bnpl) fraud prevention market are Amazon.com Inc., ICICI Bank Limited, RELX Inc., NICE Ltd., Fair Isaac Corporation, Pine Labs Private Limited, PayU Payments Private Limited, PayU Finance India Private Limited, One97 Communications Limited, Checkout Ltd., Trulioo Information Services Inc., Seon Technologies Ltd., Kount Inc., Quick Heal Technologies Limited, DataVisor Inc., Ekata Inc., Fintech, FingerprintJS Inc., Axio, Veriff OU, Epaylater, Afterpay Limited.
North America was the largest region in the buy now, pay later (BNPL) fraud prevention market in 2024. The regions covered in buy now, pay later (BNPL) fraud prevention report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
The countries covered in the buy now, pay later (BNPL) fraud prevention market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The buy now, pay later (BNPL) fraud prevention market consists of revenues earned by entities by providing services such as biometric authentication, chargeback and refund protection, collaborative fraud intelligence, and behavioral analytics. The market value includes the value of related goods sold by the service provider or included within the service offering. The buy now, pay later (BNPL) fraud prevention market also consists of sales of identity verification solutions, transaction monitoring systems, credit risk assessment tools and synthetic identity detection tools. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
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.
Buy Now, Pay Later (BNPL) Fraud Prevention Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on buy now, pay later (bnpl) fraud prevention market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for buy now, pay later (bnpl) fraud prevention ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The buy now, pay later (bnpl) fraud prevention market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.