Digital payment fraud may be declining in value, but the methods used to target Nigerian consumers are becoming increasingly sophisticated.
Phishing messages, fake websites, impersonation of trusted institutions and the exploitation of stolen mobile phones are creating new risks for customers whose financial lives are increasingly tied to digital platforms.
One Nigerian user recently shared on X how she lost almost N400,000 after clicking a link relating to an alleged Federal Road Safety Corps (FRSC) traffic offence and entering her card details on what appeared to be a legitimate website.
The experience showcases the growing sophistication of phishing attacks, in which fraudsters exploit familiar brands, institutions and urgent-looking messages to persuade victims to surrender sensitive financial information.
But phishing is only part of the threat.
In another case shared online, a user said money was debited from his account after his mobile phone was stolen, highlighting the potential financial consequences when a lost device is linked to payment and banking services.
A 51 percent decline in digital payment fraud losses to N25.85 billion in 2025 has not eliminated the risks confronting Nigeria’s rapidly expanding digital finance ecosystem.
Data from the Nigeria Inter-Bank Settlement System (NIBSS) indicates that social engineering remains a concern, with fraudsters continuing to refine phishing, SIM-swap and account-compromise techniques.
The financial cost is only one dimension of the threat. Customers with compromised accounts may face disruptions to everyday payments and potential exposure of personal information, while stolen devices can provide another pathway to unauthorised financial activity if account access is not promptly secured.
It is against this backdrop that PalmPay is placing greater emphasis on customer awareness and account protection through its “PalmPay Dey For You” campaign.
The fintech is highlighting security tools that allow customers to take action when they face specific risks.
Customers whose phones have been lost or stolen can use *861*12# USSD Lock to restrict access to their PalmPay account, helping to reduce the risk of unauthorised transactions.
PalmPay is adding more controls around transactions that may carry higher security risks.
Night Guard enables customers to activate additional protection between 11:00 p.m. and 7:00 a.m., with extra verification required for transfers during those hours. Large Transaction Shield provides similar additional verification for high-value transactions.
The approach puts more security controls directly in customers’ hands while complementing the transaction-monitoring systems used by digital financial-service providers.
The experiences being shared by Nigerians also highlight the importance of customer behaviour in combating digital fraud.
PalmPay is advising customers not to share sensitive credentials such as PINs, one-time passwords (OTPs) and passwords, while exercising caution with unexpected links, messages and requests for financial information.
Customers are also encouraged to verify the identity of anyone contacting them and make use of available security controls when they suspect their account may have been compromised.
The fintech’s upgraded PalmPay Security Center brings its protection tools and secure support options together, giving customers a central point through which they can access security-related features and assistance.
As fraudulent messages become more sophisticated and increasingly resemble legitimate communications, the challenge for digital financial-service providers is evolving.
Strong security systems remain essential, but consumers also need the awareness to recognise suspicious activity and the tools to respond quickly when a threat emerges.
Through “PalmPay Dey For You,” PalmPay said it is reinforcing its commitment to secure, reliable and accessible financial services while continuing to strengthen the systems, tools and education supporting safer digital banking.
Customers can update their PalmPay app, review the available security features and visit the PalmPay Security Center to learn more.
