Fraud in popular tourist destinations spikes by up to 28% during peak seasons, shows new research from the Mastercard Economics Institute (MEI).
Scammers are preying on bargain hunting travellers, it says, with fake photos and bogus attractions.
MEI found that the travel industry ranks among the sectors most susceptible to fraud attacks. Fraud prevalence varies significantly across different sectors of the travel industry, it adds. For example, fraud in local tour agencies is more than four times higher than the global average.
Taxi and car rental services also face relatively high levels of fraud. In contrast, fraud is less common while booking flights or trains and is even lower in the hotel sector.
. . . At Risk
Travellers are at risk of fraud well before they leave home, MEI says.
Travellers commonly encounter manipulated destination photos, fake confirmation links, and false offers, with fraudsters exploiting the desire for a bargain amid inflation and economic pressures, MEI says.
Popular tourist spots are said to be prime targets for fraudsters due to the high concentration of visitors and the increased volume of transactions.
For example, scammers establish fake tour companies, luring tourists with irresistible offers. Once paid, the tour may either never occur or be drastically different from what was promised.
In the accommodation sector, fraudsters may exploit vacation rental platforms or websites by creating fake listings or ones that vastly differ from the advertised descriptions.
. . . Safer Cities
Some cities have notably lower rates of payment fraud than others, shows the research. Tourists visiting San Francisco, Dublin, Seoul, Budapest, and Edinburgh report the lowest fraud rates, whereas transactions in Cancun, Hanoi, Dhaka, and Bangkok are more likely to experience fraud-related activities.
Exposure to fraud also differs from city to city. In cities like Cancun, Delhi, Barcelona and Hong Kong, a major share of payment-related fraud happens with travel agencies and tour operators.
In contrast, Phuket and Antalya, Turkey see more fraudulent activity related to hotel bookings, shows the research.
Food services are the primary target for fraudsters in Riyadh, Manila and Los Angeles.
. . . Asia Pacifc Trends
Asia-Pacific is home to eight of the world’s top 15 trending summer travel destinations, according to the report Travel Trends 2025.
Tokyo and Osaka are the world’s #1 and #2 top trending destinations for northern summer travel (Jun-Sep 2025), with the two largest increases in tourism demand relative to previous levels.
A weaker yen throughout much of 2024 played a significant role in boosting Japan’s inbound tourism, although the research found that New Zealanders’ notorious currency sensitivity wasn’t such a heavy influence in their decision to flock to the country.
