Banks save USD 5 mln by unifying fraud and AML, report finds

Hawk is a provider of AI-driven technology for anti-money laundering (AML) and fraud prevention. Its modular platform assists banks, fintech companies, and payment providers in identifying financial crime risks, reducing fraud losses, and ensuring compliance with regulations. Hawk’s real-time approach increases transaction monitoring, screening, and fraud prevention, enabling financial institutions to effectively tackle threats.

The report examines how banks are integrating their fraud and AML programs to address cost pressures, staffing shortages, and evolving regulatory requirements.

More than half (53%) of the banks surveyed reported intentions to update the consolidation of Anti-Money Laundering (AML) and fraud prevention efforts, with 40% currently working on integrating their systems and processes. For mid-market banks in the US, the potential cost savings highlight the transition to consolidated technology—77% of respondents anticipate saving over USD 1 million within the first five years of convergence, while 36% expect their savings to surpass USD 5 million. Among institutions that have already initiated the convergence process, 50% have achieved savings exceeding USD 5 million.

The integration of AI has had a significant impact on banks' anti-money laundering (AML) and fraud prevention frameworks. Currently, 57% of banks are utilising AI to reduce false positives. Additionally, many institutions are using AI to identify new risks, cleanse data, and streamline investigations.

More developments on Hawk

In April 2025, Hawk secured USD 56 million in Series C funding led by One Peak. The round had contributions from current investors, including Macquarie, Rabobank, BlackFin Capital Partners, Sands Capital, DN Capital, Picus, and Coalition.

Hawk offered financial institutions AI-driven solutions for anti-money laundering (AML) screening and fraud detection. Its platform aimed to replace outdated, rules-based systems, which often lead to numerous false alerts, causing inefficiencies in compliance and escalating operational costs. By harnessing machine learning and generative AI, Hawk increased risk detection accuracy and minimised false positives, enabling institutions to more effectively recognise emerging criminal behaviours.