The Rising Risk of Business Travel Fraud

Business travel is on the rise and companies are allocating larger budgets for in-person meetings. That shift is also driving a surge in fraud schemes targeting both employees and employers. Travel fraud attempts in popular travel destinations rose by almost 30% during peak seasons in 2025.

Fraudsters know exactly how to exploit the chaos of travel: juggling flights, hotels, meetings and expenses. The result is a perfect storm of distraction, urgency and unfamiliar environments that make business travelers prime targets.

Here is a breakdown of the most common business travel fraud schemes hitting organizations today, why they work and what companies can do to stay ahead of them.

The Most Common Business Travel Fraud Schemes

Business travel introduces new environments, devices and payment scenarios, all of which create opportunities for fraud. Some threats originate externally, while others emerge from within.

Fake Booking Confirmations & Phishing Emails

Travelers are frequent targets for phishing attacks disguised as legitimate airline, hotel or booking communications. Messages like, “Your flight has been canceled” or “Update your payment information” create urgency and prompt employees to click suspicious links to address changes to their tight travel schedules.

Fraudsters often use lookalike domains that mimic real airline or hotel websites, redirecting victims to credential-harvesting pages. Once login details are captured, attackers can access corporate accounts, loyalty programs or stored payment information.

The combination of urgency and mobility makes traveling employees particularly vulnerable.

Public Wi-Fi & Device Compromise

Airports, hotels and conference centers are high-risk environments for device-based attacks.

Criminals may set up fake Wi-Fi networks that appear legitimate, like “Airport_Free_WiFi,” enabling man-in-the-middle attacks [AE3] to intercept data in transit. In some cases, attackers inject malware into unsecured sessions or hijack active logins to corporate systems.

Traveling employees need to work on tasks and stay connected to their teams, but their haste to connect makes them vulnerable. When employees connect to public networks without proper protections, a routine email check can become an entry point into company systems.

Expense Fraud

Not all travel-related fraud originates outside the organization.

Expense fraud remains one of the most common forms of internal misconduct and often increases during periods of higher travel activity. In fact, companies lose up to 5% of revenue annually due to expense fraud and policy violations.

Common tactics include:

• Inflated mileage claims

• Duplicate expense submissions

• Altered receipts

• Personal charges submitted as business-related.

Because expense reporting often relies on manual review and self-reporting, small discrepancies can accumulate unnoticed, especially in fast-growing or resource-constrained organizations.

Executive Impersonation & Business Email Compromise (BEC)

Travel creates ideal conditions for executive impersonation scams.

Fraudsters may spoof a traveling executive’s email account and send urgent messages to finance or HR teams, like “I’m boarding a flight—wire these funds immediately,” or “Approve this vendor payment now.”

The urgency of travel, combined with limited availability for verification, increases the likelihood that requests are processed without proper confirmation. These schemes often result in significant wire fraud losses.

Fake Ride-Share or Taxi Scams

Ground transportation has also become a target.

Scammers may display fraudulent QR codes at airports or events that redirect users to payment-skimming sites. Fake ride-booking apps can capture credit card information, while unofficial drivers may impersonate legitimate services.

These scams not only compromise payment data but also create personal safety risks.

Conference & Event Data Harvesting

Large events and conferences concentrate thousands of devices, credentials and company representatives in one place.

Common tactics include:

• Fake event Wi-Fi networks

• QR codes that lead to malicious links

• Badge cloning or radio-frequency identification (RFID) skimming

• Fraudulent booths collecting credentials

Because conferences encourage networking and digital engagement, attackers can blend seamlessly into the environment.

Where Travel Fraud Crosses into Cybersecurity

Travel fraud rarely stays confined to a single transaction.

What begins as a phishing email or compromised device can escalate into:

• Stolen corporate credentials

• Payroll or HR data exposure

• Ransomware deployment

• Wire fraud

• Financial system compromise

For small and midsize businesses (SMBs), the risk can multiply quickly. Many SMBs operate with fewer segmented networks, shared credentials and limited device monitoring, making lateral movement within systems easier once an attacker gains entry.

Travel fraud isn’t just an expense issue. It’s a cybersecurity exposure point.

The Financial Impact Companies Underestimate

The cost of travel fraud extends far beyond the initial loss.

Organizations may face:

• Fraud reimbursements

• Chargebacks and payment disputes

• Insurance deductibles

• Lost employee productivity

• Internal investigation time

• Legal exposure

• Brand reputation damage

• Compliance risk

Even when funds are recovered, the operational disruption and reputational impact can linger.

Proactive Steps Employers Can Take

Preventing travel fraud requires a combination of policy, technology and awareness.

• Strengthen Travel Booking Controls

Centralized booking platforms provide greater visibility and reduce reliance on ad hoc arrangements. Limiting travel purchases to approved vendors, enforcing corporate card usage rules and implementing structured approval workflows create accountability before expenses occur.

• Lock Down Executive Accounts

Executives are high-value targets. Requiring multi-factor authentication (MFA), enforcing strict wire verification policies and prohibiting payment approvals via email alone can significantly reduce BEC risk. Out-of-band confirmation, such as a direct phone call, should be standard practice for financial transactions.

• Secure Devices Before Travel

Get devices travel-ready. Deploy encryption, enforce mandatory Virtual Private Network (VPN) usage and disable auto-connect Wi-Fi settings. Remote wipe capabilities ensure that if a device is lost or compromised, sensitive company data can be protected immediately.

• Update Expense Policies

Clear documentation requirements reduce ambiguity. Random audits, duplicate claim detection and analytics-driven anomaly monitoring help identify inconsistencies before reimbursements are processed.

• Educate Traveling Employees

A brief pre-travel security reminder can make a meaningful difference. Reinforce phishing red flags, Wi-Fi precautions and social engineering awareness before employees depart. Knowledgeable, cautious travelers are your first line of defense.

• Create a Travel Fraud Response Plan

Preparation reduces damage.

Establish clear protocols for:

• Reporting compromised corporate cards

• Escalating suspicious messages

• Isolating potentially infected devices

• Documenting incidents for investigation and compliance

When employees know exactly what to do, response time improves dramatically.

Protecting People, Payments and Platforms

Business travel is essential for growth, collaboration and client engagement, but it also introduces financial and cybersecurity exposure points that organizations can’t afford to ignore.

By strengthening expense controls, securing executive accounts and formalizing travel policies, companies can reduce fraud risk without limiting mobility.

Integrated solutions that centralize expense management and approval workflows provide greater visibility and accountability before, during and after travel.

Explore how modern expense management technology can help strengthen oversight and reduce risk.

And for deeper insight into how evolving cyber threats, including AI-driven scams, are reshaping business risk, explore the on-demand webinar, Inside the Next Wave of Cybercrime: 2026’s Biggest Scams and How to Outsmart Them.

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