According to a report released by TransUnion Research on June 9, 2026, nearly four out of 10 people in Kenya (39%) who lost money to digital fraud in the past year were victims of third-party seller scams on legitimate shopping sites.
The TransUnion H1 2026 Update: Top Fraud Trends report shows that Kenya is becoming a target for identity theft despite being a fast-growing digital country.
Kenya’s Scam Fraud Landscape in 2026
The good news is that overall fraud attempts remain relatively low; 2.3% of digital transactions in Kenya were suspected of fraud in 2025, lower than the global average of 3.8%.
However, when scams succeed, the impact is heartbreaking.
From TransUnion’s report, victims of scams reported a median loss of Ksh 108,132, the highest among all African countries studied.
Amritha Reddy, a senior director at TransUnion Africa, explained why this is happening:
“Fraud tends to do the most damage in places where people already rely heavily on digital services, not just where those services are new.”
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The Top 10 Scams Targeting Kenyans
TransUnion stated that fraudsters are moving away from obviously suspicious sites and now hiding on platforms people use every day.
The top 10 scams reported by consumers who lost money include:
- Third-party seller scams (39%): Fraudsters successfully impersonate sellers on legitimate e-commerce sites and other credible, trusted platforms. They exploit the platform’s strong reputation to trick shoppers during routine transactions.
- Money mule scams (30%): These involve criminals exploiting established relationships or using scams and impersonation to trick individuals into moving illegally obtained money.
- Account takeover (27%): Fraudsters target “access points” or “re-entry points” to gain control of an existing account after it has been created.
- Identity theft (26%): This occurs primarily during account creation, where criminals attempt to manipulate or steal identities to open new accounts.
- Social engineering (25%): Scammers use high-trust, scam-based tactics to bypass traditional safeguards by manipulating victims into giving up information or performing actions.
- Phishing (24%): These scams use fraudulent emails, websites, social posts, or QR codes designed to steal a person’s private information.
- Vishing (23%): This is a form of voice-based fraud where criminals use fraudulent phone calls or voice messages to trick people into revealing personal data.
- Unemployment benefits (22%): Fraudsters use scams and impersonation to illegally claim government benefits or target those seeking financial aid.
- Stolen credit card or fraudulent charges (21%): This involves unauthorized charges made using stolen financial information.
- Smishing (20%): Like phishing, this involves fraudulent text messages sent to steal personal information.
High-Risk Sectors: Gaming vs. Retail
Reddy said that the online gaming sector (including sports betting and poker) is currently the most targeted, with 15.6% of transaction attempts suspected of fraud; a massive 97% increase in fraud volume over the previous year.
Reddy also added that video gaming (9.1%) and government services (6.3%) face high risks. TransUnion, however, made a positive claim that fraud attempts in retail dropped by 96% and in financial services by 66%, suggesting these industries are getting better at blocking bad actors.
Need for Security Tightening
TransUnion said that despite lower overall fraud, risks in Kenya remain highest at account creation (4.5%), followed by login (2.2%) and transactions (0.9%).
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Reddy further warned that fraud is shifting from onboarding to account access, making re‑entry the next major battleground.
“In mobile-first markets, this shift happens faster and with greater financial impact. The next fraud battle won’t be fought at onboarding – it will be at re-entry,” Reddy noted.
Scam Prevention: What Businesses and Consumers Need to Do
- For Consumers: Customers should stay cautious of unexpected calls or texts and protect their private information.
They should also check their credit information regularly to look for any activity they don’t recognize.
- For Businesses: Businesses should move from just following rules to actively protecting customers throughout their entire digital journey, especially when they first sign up.
In addition, they should take proactive interventions to build trust and accountability in the digital economy
About TransUnion
TransUnion is a global information and insights company with more than 13,000 employees operating in over 30 countries, including Kenya.
Through its “Information for Good” mission, the company provides tools and data that businesses and consumers need to transact with confidence and achieve economic success.
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