Displaying items by tag: financial institutions

The majority of financial institutions including banks are struggling to take advantage of new payment offerings and stronger cybersecurity because their core systems haven’t been modernised, according to a new retail banking report.

New Zealand’s competition regulator The Commerce Commission has received an application from Evergreen NZ Holdings seeking clearance or authorisation to acquire 100% of the shares in ACM New Zealand Limited from ACM Holdings (NZ) Limited.

nCino (NASDAQ: NCNO), a provider of cloud banking and digital transformation solutions for the global financial services industries, has announced a value added reseller agreement with Rich Data Co (RDC), an industry leading artificidinggal intelligence artificial intelligence (AI) decisioning platform, to enhance the lending process for its customers.

GBG’s  latest report, “The Evolution of First Party Fraud in Australia”, highlights the complexities of first party fraud amid the rising cost of living and inflation, and economic impacts of the pandemic on consumers.

Scammers have stolen more than $7.2 million from Australians so far this year by gaining access to home computers, an increase of 184% compared to the same period last year.

Verifying Identity and Determining Transaction Origination are Common Challenges Across Australia, Hong Kong, Japan and India

GUEST RESEARCH:  LexisNexis® Risk Solutions today released its 2021 True Cost of Fraud™ APAC Study covering the retail, ecommerce, financial services and lending sectors for Australia, Hong Kong, India and Japan. The study provides a snapshot of fraud trends in the Asia Pacific (APAC) region during the pandemic and spotlights key pain points for firms in relation to navigating new payment mechanisms, transacting through online and mobile channels and expanding internationally.

The cost of fraud for retail, ecommerce and financial institutions in the surveyed markets is high. The LexisNexis Fraud Multiplier™ – the total amount of loss a firm occurs based on the actual U.S. dollar value of a fraudulent transaction – shows the cost per transaction is $3.51 in Australia; $3.61 in Hong Kong, $3.87 in Japan and $3.84 in India. All four countries reported higher costs per transaction than the regional 2019 average that involved other APAC markets at $3.40.

A combination of factors is driving the high cost of fraud, including market events influencing the use of transaction channels/payment methods, the challenges that businesses face when assessing fraud with these transactions and the less than optimal approach that businesses take towards fraud detection, prevention and minimizing customer friction.

The report’s findings stem from a comprehensive survey of 418 risk and fraud executives in retail, ecommerce, financial services and lending companies in the APAC region in 2021.

Key findings from the LexisNexis Risk Solutions True Cost of Fraud APAC Report:

• Financial Institutions Tend to Have Higher Costs – Given the heavy account-based nature of their business and the need to repay fraud losses to customer accounts, financial institutions often employ more internal and external labor for investigation, detection and recovery. On average they spend $3.78 per transaction in Australia, $4.70 in Hong Kong, $4.46 in Japan and $4.76 in India.

• The Effect of the Pandemic – The pandemic has presented the same challenges to the Australian, Hong Kong, Japanese and Indian markets such as shutdowns, fear of in-person contact and fear of transmission, though the disruption was not equal. Each market saw a marked increase in the use of digital transactions and digital payment methods while cash and in-person payments dropped. However, Hong Kong and India changed more fundamentally as these markets have traditionally had more in-person and cash-driven transactions. Businesses in both markets needed to adapt quickly and many were unprepared from a fraud detection standpoint.

• Identity Verification Remains a Top Challenge – Common online and mobile channel challenges across markets included identity verification and determining transaction origination. The rise of synthetic identities was the most common source of identity verification issues. Ecommerce merchants indicated that transaction origination is more commonly cited as a challenge due to their limited use of solutions to capture device ID and geolocation. The rise of mobile and digital wallets as well as other contactless payment methods has created difficulty for many ecommerce merchants when assessing fraud risk related to these channels.

• Limited Use of Best-Practice Fraud Detection/Mitigation Approach – The use of digital/passive identity authentication solutions and transaction risk assessment solutions was limited in the Australia and Hong Kong markets. The number of organizations that integrated cybersecurity and/or digital customer experience with fraud operations was also limited in both markets. The ecommerce sector for the Hong Kong market is an outlier as it is fairly nascent and still in a development stage. This is primarily because Hong Kong, a highly developed territory, has enabled easy access to area businesses and in-person transactions have been much more common than those made online.

Cameron Church, director of fraud and identity, LexisNexis Risk Solutions, said, “As fraudsters become more sophisticated and their methods more complex, businesses need a robust fraud and security technology platform that helps them adapt to a changing environment, offering strong fraud management while maintaining a low-friction customer experience. A successful fraud detection and prevention approach involves an integration of technology, cybersecurity and digital experience programs to address unique risks from different transaction channels and payment methods.

“High fraud costs impact ecommerce merchants, retailers and financial institutions as they increase each year – even without the influence of COVID-19,” continued Church. “With sophisticated threats on the rise, taking a multi-layered solution approach has proven to be the most effective way to fight fraud across various channels and transaction types, as well as performing a more complete assessment that combines physical and digital identity data analysis. Using different solutions to support fraud detection at various points throughout the customer journey will strengthen a firm’s overall defense.”

Download a copy of the True Cost of Fraud APAC Report or register to attend the LexisNexis Risk Solutions Digital Identity Summit webinar on Thursday 8 July, 11am SGT to learn more.

About LexisNexis Risk Solutions LexisNexis Risk Solutions harnesses the power of data and advanced analytics to provide insights that help businesses and governmental entities reduce risk and improve decisions to benefit people around the globe. We provide data and technology solutions for a wide range of industries including insurance, financial services, healthcare and government. Headquartered in metro Atlanta, Georgia, we have offices throughout the world and are part of RELX (LSE: REL/NYSE: RELX), a global provider of information and analytics for professional and business customers. For more information, please visit www.risk.lexisnexis.com and www.relx.com.

The Commonwealth Bank has announced the integration of new services into its platform as part of ongoing investment in the development of its digital banking capabilities.

Mobile financial services to help customers transact instantly are seeing greater demand and rollout amongst Australian financial institutions during the pandemic, although the institutions are slow to adopt next-gen digital offerings such as fraud alerts (21%) and voice-activated fund transfers (15%), according to a new report.

Australians are showing a greater preference for contactless payments during the COVID-19 pandemic, according to debit card provider eftpos which is claiming 400% growth of its mobile payments business.

GUEST OPINION by Brendan Maree, Vice President Asia Pacific, 8x8:  In challenging times, an experienced, well trained contact centre team can be an invaluable asset to your organisation.

GUEST OPINION by Brendan Maree, Vice President Asia Pacific, 8x8: In challenging times, an experienced, well trained contact centre team can be an invaluable asset to your organisation.

There has been a spike in ransomware attacks as cybercriminals capitalise on the COVID 19 pandemic, according to a new report which found that ransomware attacks can be correlated to key days in the COVID-19 news cycle - suggesting attackers are being “nefariously opportunistic” and leverage breaking news to take advantage of vulnerable populations. 

Mobile payments provider Sniip says it will be increasing the number of billers accessible through its app to 45,000, and gaining access to 1.5 million more payments each working day, after being sponsored into the BPAY scheme by e-payments giant, Indue.

The old Android Pay is set to become Google Pay, allowing you to go ogle Google's new way to pay, coming soon to you via Google Play.

A new blockchain banking solution aimed at helping financial institutions address the processes of universal cross-border payments has been launched by IBM.

Melbourne-based payments technology start-up Airwallex has boosted its coffers with US$3 million raised through a pre-series A investment round and will use the funds to strengthen its Melbourne and Chinese development teams and accelerate research and development of its technology.

Australian technology startup BlueChilli Group and startup accelerator Entsquared have today launched a corporate innovation program, Disrupt@Scale, which they say is designed to rapidly bring four new startups to scale in conjunction with one of Australia’s largest financial institutions.

It's one of the most embarrassing and potentially dangerous hacks of all time, affecting banks, government departments and other agencies that use RSA security tokens, but only now, three months after the scandal started, does RSA appoint a security officer?

Progress Software Corporation (NASDAQ: PRGS), a leading software provider that enables enterprises to be operationally responsive, has further advanced its real-time market monitoring and surveillance capabilities with the launch of a Progress® Market Surveillance and Monitoring Solution Accelerator product. The Market Surveillance and Monitoring Solution Accelerator enables financial institutions, exchanges and market regulators to detect patterns of abusive or erroneous trading activity and take corrective action to prevent trading fraud and abuse in real-time. Moreover, the new Solution Accelerator automates the steps necessary to manage any subsequent investigation and supports the sophisticated case management of alerts.