365.bank enhances internet banking security with the SAS system
The bank has chosen the SAS Fraud Management solution it can manage itself and that operates largely autonomously.
The solution enables real-time fraud detection and prevention. In addition, it helps to optimise security policies and strike the right balance between risk management and customer experience.
365.bank achieved this using • SAS Fraud Management
Banks have always attracted fraudsters. But whereas once it was mainly robbers, today they increasingly have to deal with digital fraudsters.
According to KPMG's Global Banking Fraud study, digital banking fraud is on the rise around the world, including cyberattacks. It is therefore crucial for banks to monitor suspicious activity and verify online transactions in real time to keep their customers' money safe.
Strict regulations such as PSD2 also impose obligations on banking houses in terms of security and identification of risky operations.
Bet on certainty
The 365.bank group, which has been operating on the Slovak market for almost three decades and is one of the strongest players in retail banking with more than one million clients, has also been responding to digitalisation in recent years.
One of its key pillars is secure online banking, which includes, among other things, close monitoring of electronic transactions and identification of potential fraud.
365.bank is assisted in this respect by a solution from SAS, a software and consulting company, which is a proven supplier of analytical software for both risk and customer relationship management.
The bank chose the SAS Fraud Management solution not only because it is a time-tested system specialised for banking with a guarantee of further development, but also because of the long-term local presence of the supplier, which provides consulting and operational support.
Last but not least, we wanted the solution not only to enhance the security of online banking, but also to detect and report to law enforcement agencies data related to serious criminal activities. Juraj Šterdas Fraud Manager for Fraud Prevention 365.bank
Customisation at the bank's direction
The deployment of the solution consisted of integrating the SAS software with the bank's other systems and then preparing a datamart with data for the analysis of fraudulent transactions. Customisation was no longer difficult and 365.bank did it largely on its own. SAS consultants had proposed several dozen criteria based on best practices from around the world, which the bank then adapted and supplemented according to its own needs and discretion.
365.bank now also manages the system, including the creation and categorisation of rules or working with alerts, without the assistance of the supplier.
Thanks to this, the customer not only saves costs, but also has the whole topic of transaction fraud detection discreetly under their own control. Roman Mikolaj Consulting Manager SAS
The software system operates on the basis of predefined rules in a largely autonomous manner and, thanks to the SAS Enterprise Guide add-on module, it also enables the automatic generation of reports for the regulator. The interface with the results of suspicious activity is also connected to the bank's call centre, where agents then contact clients to verify whether suspicious payments have actually been made.
Complete coverage of requirements
Thanks to its extensive functionality, the SAS solution fully covers the area of online transaction fraud, so there was no need to supplement or change the system through a change procedure.
It helps the bank to identify suspicious online banking transactions on a daily basis, which not only helps to eliminate losses not caused by customers, but also helps to comply with regulatory requirements.
In addition, the system allows hypothesis testing and optimised rule setting to ensure the bank finds the right balance between fraud risks and a positive customer experience.
We also use the SAS tool to set up exceptions to the so-called RTS defined in PSD2, i.e. scenarios where client transactions do not need to be verified by a verification code sent via SMS, which can also save costs. Juraj Šterdas Fraud Manager for Fraud Prevention 365.bank
Business problem
365.bank wanted to improve the detection of transaction fraud and suspicious activity in online banking to eliminate reputational risks and potential financial losses and to be able to effectively meet the requirements of the regulator.
Solution
The bank has chosen the SAS Fraud Management solution it can manage itself and that operates largely autonomously.
Benefits
The solution enables real-time fraud detection and prevention. In addition, it helps to optimise security policies and strike the right balance between risk management and customer experience.
