Today’s credit card customer behavior changes on the dime, so it’s no wonder that the tools for predicting their behavior are having trouble keeping up. Ellen Joyner says that maintaining that delicate balance between avoiding fraud loss and keeping the customer happy can be accomplished with a multi-layered approach. Read her thoughts in this post and the accompanying white paper.
A hybrid approach identifies associations between various accounts and integrates that information with the traditional rules and analytics to better score risk, prioritize alerts, reduce false positives, increasing the efficiency of investigators and reducing fraud losses. Dan Barta describes network analysis and says you can use either the top down or bottom up approach. Which approach are you using?
One of the challenges facing financial institutions is that their fraud detection and prevention systems have been siloed by products and channels. They use one system for credit card detection, another for check fraud and yet another for online banking. The FFIEC recently updated guidance on customer authentication and layered security.
Many of the technologies and techniques for making your business secure from fraud are probably in need of a refresh. Ellen Joyner Roberson has suggests using this new “regulatory season” as a time to update the old sytems to make the regulators happy and save money, create efficiencies and make your business more profitable.
Skimming and phishing attacks are becoming more common, with fraudsters taking full advantage of technology to operate globally. Find out some of the reasons behind the increase in bank fraud, and what you can do to stop it.
The growing threat of enterprise-class fraud
Leader’s integrity tied to risk management culture
Combating blood money with big data
Recent Comments