Recent developments suggest the U.S. is taking a more serious approach to holding faster payments platforms accountable for scams. It's unlikely any changes will occur before the November U.S. election, but the move toward more regulation is a good start, said Ken Palla, retired MUFB Bank director.
Giving customers more flexibility in instant payment systems could give users more control over their transactions and help fight scammers. An option to delay payments could introduce the needed friction to stop fraudulent payments, said fraud experts Eva Velasquez and Ken Palla.
The 2024 NICE Actimize Fraud Insights report explores industry-wide fraud trends, highlighting what poses the most risk for financial institutions and their customers. Unlock critical insights with this comprehensive analysis, developed by data scientists and fraud experts using NICE Actimize’s collective...
Payment screening is a regulatory requirement but doing it with speed and efficiency proves challenging for many firms.
Financial institutions (FIs) need to decide if payments should be blocked or processed in real time. And they must also stay current with new regulatory requirements and constantly updated...
Despite making some progress in tackling APP scams, smaller payment firms still struggle with high fraud rates compared to large banks, as highlighted in a report by the U.K.’s Payment Systems Regulator. Customer reimbursement guidelines have prompted banks to scrutinize suspicious payments.
During a hearing Tuesday, U.S. Sen. Richard Blumenthal, D-Conn., revealed that Bank of America, JPMorgan Chase and Wells Fargo only reimbursed 38% of unauthorized Zelle transaction claims - leaving consumers on the hook for $100 million in fraud losses. The banks disputed the committee's findings.
Financial institutions embracing real-time payments face the challenge of integrating new technologies and adapting behaviors. That's why initially most banks are only offering customers the option to receive payments, said Elena Casal, chief client officer at The Clearing House.
As the FedNow instant payment platform celebrates its one-year anniversary, Peter Tapling, board member of the U.S. Faster Payments Council, doesn't understand why financial institutions aren't bringing out new products that incorporate faster payments.
A public-private effort with the codename Operation Spincaster is using intelligence related to 7,000 compromised cryptocurrency wallets and $162 million in losses to warn victims, recover funds and disrupt groups involved in crypto-powered approval phishing or pig-butchering scams.
In July 2023, the U.S. payments industry marked a major milestone with the launch of FedNow, the Federal Reserve's instant payment service for depository institutions. This long-anticipated development promises to revolutionize real-time payments across the country.
Traditional fraud detection methods are no longer sufficient against modern scams in which account holders are deceived into authorizing fraudulent transactions, said Peter Tapling, board member, U.S. Faster Payments Council. He also discussed how AI advancements make scams harder to detect.
Awareness of instant payments has grown significantly in the U.S. payments ecosystem since the launch of FedNow last July. Many banks have signed up for FedNow, but transaction volumes remain low because only the receive mode was activated, said Reed Luhtanen of the U.S. Faster Payments Council.
Social engineering and phishing are not just IT buzzwords; they are potent threats capable of causing devastating damage to your organization. Bad actors and the technology they use to infiltrate your defenses are evolving at lightning speed. The only way to safeguard your assets and data is to stay ahead of the game...
Law enforcement authorities in Singapore, Malaysia, Hong Kong and Taiwan took down a cybercrime ring that used dozens of servers and hundreds of phishing pages across multiple jurisdictions to run a malware-enabled scam operation and steal tens of millions from victims' bank accounts.
Spanish National Police have arrested a 22-year-old British national based on an International Arrest Warrant from the U.S. that accuses him of stealing bitcoins worth $27 million. Reports suggest the suspect is a key member of the Scattered Spider cybercrime group that hacked MGM and Clorox.
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