- How are instant payments changing the fraud landscape?
- How do financial institutions adapt to modern fraud?
- What impact does regulation have on banks’ fraud mitigation strategies?
- How can financial institutions balance risk and customer experience?
Global fraud is increasing at alarming rates, with the UK alone facing £2.3 billion in losses in 2023, a 104% increase year over year. Facing unprecedented levels of fraud, financial institutions are struggling to adapt quickly enough to keep up with fraudsters, and the uptake of instant payments across Europe is adding another layer of complexity to the situation.
In a bid to address skyrocketing fraud, regulators are starting to take action. Existing practices, such as Strong Customer Authentication (SCA) or Confirmation of Payee (CoP), combined with incoming regulation like the PSR’s shift in liability and the Economic Crime and Corporate Transparency Act (ECCTA) are designed to encourage financial organisations to fortify their fraud defences and increase customer safeguards.
Yet for many financial institutions, the question remains how to re-think their anti-fraud tooling in ways that are proactively preventing fraud without negatively affecting the customer experience. Modern technology like AI and ML can support fraud teams, but efficient fraud prevention can only happen with a in-depth process transformation. Today’s complex fraud dynamics require financial institutions to reimagine their approach from fraud detection toward actual fraud prevention.
Sign up for this Finextra webinar, hosted in association with Eastnets, to join our panel of industry experts who will discuss the current state of instant payments and the challenges banks face as they combat skyrocketing levels of fraud.