- Financial institutions are looking to combat money mules and APP scams using emerging technologies
- APP fraud has outpaced the UK market and is becoming more significant globally, therefore it is essential to gain perspectives from banks on how to manage risk
- What solutions are banks looking for to bridge gaps in the transaction process?
Authorised Push Payment (APP) fraud and money mules are scams in which fraudsters pose as payees and trick consumers into transferring funds. Victims of the scams cannot recover their payments and place their accounts in a position of vulnerability. UK Finance reported that £249.1 million was lost in APP scams in the first half of 2022, indicating that APP fraud is on the rise.
Both banks and regulators are working against APP fraud by increased monitoring, insurance safeguards, and harsher protective measures. In order to stay ahead of the fraudsters, financial institutions are looking to invest in new methods to limit APP scams.
Global institutions are searching for solutions to combat APP scams and protect consumers. In order to prevent misdirected payments and secure transactions liability must shift back onto financial institutions.
- Gary Wright - Head of Research, Finextra [Moderator]
- Jake Emry - Fraud Prevention Subject Matter Expert, NICE Actimize