BioCatch’s report on Digital Banking Fraud Trends in the U.S. Mid-Market for 2026 highlights key changes in the fraud landscape affecting community banks and credit unions, based on proprietary data from over 250 mid-market customers.
Read More
The report indicates an overall decline in fraud activity, with a notable 11% decrease in fraud sessions from the second half of 2025 to the first half of 2026, alongside a 15% reduction in bot activity.
However, it also notes a concerning 25% rise in mule sessions, suggesting an increased dependence on human-operated money transfers, which are harder for traditional fraud detection systems to identify. Additionally, more than half (52%) of mule sessions were reported to originate from new devices, marking a 17 percentage point increase from the previous year.
Remote access sessions, another significant threat, saw a 6% increase in 2026. This uptick coincides with a rise in social-engineering scams, where victims are manipulated into allowing unauthorized access to their devices.
The full report aims to equip financial institutions with insights to better understand and defend against emerging fraud trends.