Fraud Leaders' Summit’s Post

This post from the Fraud Leaders Summit highlights how the unchecked rise in Authorised Push Payment (APP) fraud has forced the government to look at allowing banks more time to investigate suspicious transactions. Whilst this seems a necessary step, the real key is to tackle this fraud in the first few seconds by: - Confirming ownership of the bank details that payments are being made to and from - Verifying KYC details - Most important of all, customer education

App Fraud Losses in the UK: A Wake-Up Call for Banks The value of app fraud sent per £ million of transactions varies appreciably between the 14 foremost UK banking groups. This information highlights the pressing want for banks to put money into sturdy fraud prevention measures to guard their customers. According to the picture, #TSB has the highest app fraud rate, dropping £348 for every £1 million in transactions. On the other hand, #AlliedIrishBanks has the lowest rate, losing only £23 per £1 million. This disparity increases concerns approximately the security practices of different banks and the ability of clients to be targeted by fraudsters. #Banks have to prioritize fraud prevention and invest in modern #technology to defend their customers' price range. Thank you Open Banking Expo Resource: https://lnkd.in/gntRVsGx Maximilian Salomon MEHDI SARDAOUI Sam Boboev #appfraud #banks #cybersecurity #finance #fraudprevention #uk

Following up on my last post. After I was told by the bank, I can retry after sometime. The bank representative asked me to verify few details - address and date of birth. Easy. Only problem being, this was an account that was opened for me when I was in class 7th. After few trials I got my address but couldn't get to the right DOB. As a result, I was now locked out of my own account. UPI transactions were blocked. I tried logging in my account via Internet banking trying all combinations of DOB. But nope. Couldn't get to my account. Only option then was to visit the bank. And after a series of several other events. I got to know my 'minor' account was opened with a DOB which was of an adult. The takeaway from this incident was however the security measures taken by the bank at the premonition of a potential fraud. 2/2 You can find the link to the first part of the post here - https://lnkd.in/gHXb5cVM #upi #security

Should Banks be held liable if alerts for withdrawals are not provided to customers? In the instant case, the patron had a Savings Bank Account with the State Bank. Certain monetary transactions underwent through the patron’s account, however no SMS alert was received on the patron’s mobile, even though he had applied for these services from the bank. Upon checking, the patron identified these transactions and filed a complaint with the District Commission for a refund along with compensation. The District Commission noted that since the Bank failed to provide SMS alerts for the withdrawal of money from the patron’s bank account, they were liable for a deficiency in services. They noted that an unscrupulous person had cloned the ATM card or tracked the PIN number of the patron. Failure of the bank to upgrade its system to prevent cloning and hacking displays a deficiency on its part to protect sensitive information and therefore the bank was held accountable for its negligent and deficient service . However, the bank preferred an Appeal before the State Commission. But the State Commission after reflecting on the submissions made by both parties concurred with the judgment of the District Commission and stated that the Bank was legally obligated to send timely messages to the complainant on fraudulent withdrawals made from his bank account and non-observance of such a legal obligation constitutes a deficiency in the eyes of law for which the bank was held accountable. #StateBankofIndia #withdrawals #smsalerts #hacking #cloning #fraud #financialloss #cybercrime #dataprotection #datasecurity #legalupdates #lawonlinkedin #legalknowledge #caseupdates #casehearing #trendingcases

Miriam Bell, The Post: 86% of Kiwis say the FMA should regulate banks to provide minimum fraud protection. 75% don't trust banks to self regulate. Latest results from Horizon Research. That is a huge result and I hope Andrew Bayly, Commerce and Consumer Affairs Minister is listening. Trust in banks has dissolved. What most consumers don't realise, is the mighty FMA have no jurisdiction over payments, bank accounts, fraud, or banks' conduct. Only a politician can change that. The public have had enough of self-regulation and NZBA writing their own code of practice. Rip that thing up, or at least put it on Samantha Barrass desk for a rewrite and the ability to enforce. The scary stats: 🚩 12% of adults had suffered a card of document fraud 🚩 9% suffered fraud or theft involving a bank account Watch out for the June 2024 release of the NZ Crime and Victims Survey. In the last survey 20% of all crime in NZ came from fraud and deception. It is our biggest national crime problem by volume. The usual patter from NZBA was on repeat, in the this piece by Miriam Bell. 🚩 Stage 1 of the anti-scam centre is set up. Please don't be fooled. Even Casey Costello, Associate Police Minister, who attended the latest fraud conference in London, admitted there was no action on this scam centre. Banks have agreed to share account details of money mules and suspend and freeze accounts. That is not the start of an anti scam centre. That's a few emails flying on a best efforts basis, with no ability for customers to hold them to account when they suffer losses. It's minimum behaviour and should have been occurring long before now. The fact a bit of basic info sharing has rounded up 1500 mules, has no effect on keeping customers safe. Those same people walk 50 yards down the road with another shell company registration and open new accounts. Onboarding procedures at our banks are as solid as candy-floss. 🚩 Confirmation of Payee - that won't keep anyone safe until nearer the end of 2025. A roll out from Christmas 2024 is not a start date. https://lnkd.in/eXFvsQ2K #fraud #scam #fintech ANZ Bank of New Zealand Westpac Kiwibank ASB Bank FMA Samantha Barrass Andrew Bayly Ministry of Business, Innovation and Employment Banking Ombudsman Scheme (NZ) Nicola Sladden Brent Carey Netsafe New Zealand CERT NZ Reserve Bank of New Zealand Commerce Commission John Small Matthew Lewer Graeme Colman Roger Beaumont Antonia Watson Catherine McGrath Vittoria Shortt Steve Jurkovich Dan Huggins

It is completely ridiculous that, many years after it was normal elsewhere in the OECD, our banks cannot provide a payee confirmation service to prevent fraud. This really is investor protection 101. And why don’t we have it? Because in the abscence of proper regulation, banks have prioritised huge profits over providing this most basic and robust investor protection. I completely agree with Janine, the Government has to act, and swiftly. No one else can. ‘Starting’ payee confirmation by the end of this year, as the banks have indicated, is a joke. It should be fully operational within 3-6 months. Leaving to the banks to do themselves risks repeating the farce that has been Open Banking self regulation. Ten years later, we are still waiting….. Banks, supermarkets, building materials- the examples keep coming of light handed (and, in this case, totally absent) regulation really costing the average Kiwi family. And when it’s a cartel and oligopoly serving up the goods and services, the market simply doesn’t work without strong regulators stamping on any extractive behaviours.

🚨Fraud Friday: Top reported cyber-scams as reported by Federal Trade Commission #1 𝑰𝒎𝒑𝒐𝒔𝒕𝒆𝒓 𝑺𝒄𝒂𝒎𝒔 Imposter scams remained the top fraud category with reported losses of $2.7 billion. These scams include people pretending to be your bank’s fraud department, the government, a relative in distress, a well-known business, or a technical support expert. #2 𝑰𝒏𝒗𝒆𝒔𝒕𝒎𝒆𝒏𝒕 𝒔𝒄𝒂𝒎𝒔 While investment-related scams were the fourth most-reported fraud category, losses in this category grew. People reported median losses of $7.7K – up from $5K in 2022. #3 𝑺𝒐𝒄𝒊𝒂𝒍 𝒎𝒆𝒅𝒊𝒂 𝒔𝒄𝒂𝒎𝒔 Scams starting on social media accounted for the highest total losses at $1.4 billion – an increase of 250 million from 2022. But scams that started with a phone call caused the highest per-person loss ($1,480 average loss). #4 𝑷𝒂𝒚𝒎𝒆𝒏𝒕 𝒎𝒆𝒕𝒉𝒐𝒅𝒔 Scammers preferred victims pay with bank transfers and person-to-person payments, which accounted for the highest losses ($1.86 billion). Cryptocurrency losses were a close second at $1.41 billion reported in losses. #5 𝑳𝒐𝒔𝒔𝒆𝒔 𝒃𝒚 𝒂𝒈𝒆 Of people who reported their age, younger adults (20-29) reported losing money more often than older adults (70+). However, when older adults lost money, they lost the most. Dacotah Bank has a multitude of security measures to protect your confidential, personal and financial information. Call us today! #DacotahBank #FraudFriday #BanksNeverAskThat Member FDIC

In the second quarter of 2023, Nigerian banks faced concerning trends in fraud and forgeries. Mobile fraud, computer/web fraud, and POS-related scams persist as major threats. Delving into the data, we find a startling revelation: among contributors to fraudulent activities, 88 staff members were involved in banking fraud in the last 9 months. It's crucial to identify patterns and deploy targeted solutions. Let's leverage advanced technologies and best practices to outsmart fraudsters. Together, we can combat fraud effectively. Stay tuned for relevant tips. #FraudTrends #DataAnalysis #RiskManagement #CWGxClari5 Adewale Adeyipo, Austin Okere, Philip Obioha, Harriet Attram Yartey, Peter Mugizi Tumusiime, Ireti Yusuf, Seun Koshoedo, Afolabi S., Tinu Adeyemi ACIPM, HRPL, SHRM-CP, ANITAD, Abisola Oshin

Sad: my 88 year old father became another victim of financial fraud. Fraudsters are being enabled by this crooked company CoinFlip to commit fraud against the elderly. He was coerced into withdrawing $20,000 in cash and coached on how to deposit into an a CoinFlip digital currency ATM machine. In his state, there is a cap of $2,950 per 24hrs. However, the fraudsters went through "special protocols" to get that limit removed. How is this even possible? Who is regulating this company? Clerks at the store are coached to "not interfere" with anyone using the machine. They commented that "these machines are nothing but trouble due to people being scammed regularly"! CoinFlip is a company that needs to be put out of business. They should be held accountable for money laundering, fraud, theft, etc. They are in collusion by allowing financial theft to be a normal course of their profits. They take a 15.9% transaction fee on purchase of crypto and another 4.9% on the sale. The Fraudsters netted ~$15,000 and CoinFlip made ~$4,000 on this theft. This company started in 2015 and has grown exponentially. They have grown more than 1,000% in just 3-years and are now in 49 states! Where are the regulators? #elderlaw #elderabuse #financialfraud FBI Cyber Division Consumer Financial Protection Bureau CoinFlip Federal Trade Commission USDA Ben Weiss Daniel Polotsky Chuck Grassley Brenna Bird NEWS 7 KWWL