Cybersecurity awareness: Evolving fraud tactics need evolving solutions

As Cybersecurity Awareness Month comes to a close, it’s a timely opportunity to focus on the role that ongoing education and the implementation of strategic tools play in helping financial institutions mitigate fraud risk. As fraudsters become more sophisticated, financial institutions are under pressure to stay ahead. So much so that fraud prevention has catapulted to one of the top three investment areas for financial institutions.  Cyber security should always be a significant part of these investment strategies.

In a recent fireside chat, Megan Pulliam, SVP of Marketplace at MeridianLink^®, and Isio Nelson, Managing Director of Research, Fraud & Thought Leadership at BAI, talked about the changing face of fraud and how banks and credit unions can protect consumers and their institution from these bad actors. The conversation highlights an important reality: As consumers increasingly seek fast and frictionless experiences online, FIs face the dual challenge of effectively combating fraud while still prioritizing a seamless consumer journey.  A strong cyber security policy helps manage this balance.

Here are some of the key takeaways from the discussion. To watch the full episode, click here.

Three major fraud types

Megan and Isio highlighted three major types of fraud that are particularly challenging today—synthetic fraud, account takeovers, and credential stuffing—and discussed how financial institutions can effectively tackle these risks. Implementing robust cyber security measures is crucial in combating these fraud types.

 

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