Scienza e Tecnologia
BioCatch Releases Comprehensive Analysis of Banking-Fraud and Financial-Crime Trends in Europe
"While we're at the dawn of the age of AI-powered fraud," BioCatch Director of Global Fraud Intelligence Tom Peacock said, "this is not a scourge of tomorrow or some distant future. It's happening right now and banks need to protect themselves and their customers. In just the last year, fraudsters have used AI to create hyper-localized and -personalized videos, voice recordings, emails, and text messages to skirt bank defenses and target a broader range of victims."
If there's an outlier in this EMEA Report's findings, it's in the UK, where the voice scams plaguing the rest of the continent fell by 25% from the year before, in a trend that may signal fraudsters are desperately seeking ways around modern fraud-protection controls such as behavioral biometric intelligence. Account-takeover (ATO), meanwhile, started to rise in the UK again in 2023, with its slice of the total fraud pie increasing by 13%. Here, BioCatch saw more patient fraudsters, skirting bank controls by repeatedly logging into their victims' accounts without making any fraudulent transactions, gradually building trust with the financial institution before finally transferring away the money they planned to steal all along.
The UK's also the first country in Europe not only to mandate reimbursement for fraud victims (no matter the scam for which they fell) but also to split reimbursement liability between the sending and receiving banks, leading to a monumental increase in the detection of mule accounts in the country last year.
"If AI represents the next frontier of digital-banking fraud, mule accounts are the timeless tool ubiquitous to every scam since the outset of online banking," BioCatch Regional Vice President Paul Davis said. "If we can identify and shut down these sprawling networks of intermediary accounts, we can make a massive dent in digital fraud and financial crime throughout Europe and around the world."
"We Fight Fraud (WFF) is deeply attuned to the increasing prevalence of scams and the exploitation of AI to deceive individuals and extract their finances," WFF CEO Dr.
Nicola Harding said. "According to Ofcom, a staggering 43 million adults in the UK encountered a potential scam online last year, with more than half of these instances involving impersonation scams. WFF partners consistently express concerns about fraudsters using AI to elevate impersonation scams to new levels. That's why we're delighted to collaborate with BioCatch to promote awareness of these contemporary threats throughout April, May, and June, as part of our April Fraud campaign."
Click here to access BioCatch's full 2024 Digital Banking Fraud Trends in EMEA report and learn how to safeguard your financial institution against an ever-expanding array of fraud threats.
BioCatch stands at the forefront of digital fraud detection, pioneering behavioral biometric intelligence grounded in advanced cognitive science and machine learning. BioCatch analyzes thousands of user interactions to support a digital banking environment where identity, trust, and ease coexist. Today, more than 30 of the world's largest 100 banks and more than 180 total financial institutions rely on BioCatch Connect™ to combat fraud, facilitate digital transformation, and grow customer relationships. BioCatch's Client Innovation Board, an industry-led initiative featuring American Express, Barclays, Citi Ventures, HSBC, and National Australia Bank, collaborates to pioneer creative and innovative ways to leverage customer relationships for fraud prevention. With more than a decade of data analysis, 90 registered patents, and unmatched expertise, BioCatch continues to lead innovation to address future challenges. For more information, please visit www.biocatch.com.
Media contact:
Jay Jones
Jay.jones@biocatch.com
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