The risk of cyber fraud continues to grow, even as ways to fight it become more sophisticated – like the use of artificial intelligence and risk management hubs. Partly to blame is the rapidly increasing use of new, innovative technologies to automate processes and improve efficiency. For banks and financial institutions, the use of such technologies can often be a double-edged sword.
Adopting digital platforms helps financial institutions attract new customers and retain current ones by offering creative new services and enhanced customer experiences. However, the same technologies that help financial institutions grow and remain competitive also open them up to fraud as criminal actors find their own new and innovative ways to hack into those systems.
Aite reports that 45% of financial institution executives say the trend for real-time fraud losses has increased 10% or more compared to two years ago, and an additional 30% saw the trend for such losses rise between 1% and 9.9%.
Maintaining the fight against fraud may seem futile, but there is hope. Using a combination of fraud prevention solutions, collectively known as a risk management hub, gives your organization a layered and thus, much stronger defensive position against attacks.
Is your fraud prevention platform able to answer these questions and act quickly if needed?
- Is this a real person?
- Is this person using a fraudulent device?
- Can we identify any red flags?
- What actionable insights can I learn from this data?
To find out how your financial institution can protect itself against the ever-evolving threat of cybercrime, download the full white paper: Your Risk Management Hub: The Benefits of a Layered Risk Solution for Account Opening.
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