A recent report on banking fraud released by the American Bankers Association highlights the impact mobile banking fraud is having on institutions of all sizes, with 100 percent of the largest financial institutions reporting RDC fraud and a 400 percent growth in losses reported over two years across financial institutions of all sizes.
Guardian Analytics’ Mobile Fraud Trends research identifies the two schemes dominating mobile RDC fraud, both of which feature social engineering of a victim, and against which traditional forms of authentication and even newer forms of biometrics are defenseless.
- The Sweetheart Scam, in which fraudsters foster relationships online and then manipulate their victims into cashing fraudulent checks
- Fake Online Payday Lenders, criminals that trick prospective borrowers into unwittingly depositing fraudulent checks through RDC and then cashing them out as a part of a fake loan approval process
“Financial institutions can easily defeat criminal attacks that use such varying combinations, even those that rely on the victim to authenticate,” continued Pacalin. “Using our behavioral analytics and machine learning solutions, our customers are successfully preventing losses and proactively helping their customers avoid future fraud problems.”
Download the Guardian Analytics Mobile Fraud Trends Report and infographic: www.GuardianAnalytics.com/RDC-fraud.
About Guardian Analytics
Guardian Analytics is the pioneer and leading provider of behavioral analytics and machine learning solutions for preventing banking fraud. Over 400 financial institutions have standardized on Guardian Analytics’ innovative solutions to mitigate fraud risk and rely on the company to stop the sophisticated criminal attacks targeting retail and commercial banking clients. With Guardian Analytics, financial institutions build trust, increase competitiveness, improve their customer experience and scale operations. Guardian Analytics is privately held and based in Mountain View, CA. For more information, please visit www.GuardianAnalytics.com.