Key reasons for rising fraud incidents include large-scale remote working models, increase in customers using non-branch banking channels, and the limited use of forensic tools to identify potential red flags, the survey reveals.
Retail banking was identified as a major contributor to frauds, with 53% respondents of the survey indicating that they had experienced more than 100 such incidents since 2020, a 29% increase since the previous edition. Similarly, the non-retail segment saw an average of 20 fraud incidents, as highlighted by 56% of survey respondents, a rise from the previous 22%.
Additionally, data theft, cybercrime, third party-induced fraud, bribery and corruption, and fraudulent documentation have been identified as the top five concerns with over 42% of respondents (cumulative) reporting to be victims of these, data in the survey suggests.
Survey respondents indicated that the top three outcomes of Covid-19 on their fraud risk management (FRM) function will be increased dependence on analytical tools for fraud monitoring and detection (25%), the need to create awareness about fraud among customers and employees (23%), and a change in the target operating model to enhance capabilities of remote FRM function (21%).
Every day we send out a free e-mail with the most important headlines of the last 24 hours.
Subscribe now
We welcome comments that add value to the discussion. We attempt to block comments that use offensive language or appear to be spam, and our editors frequently review the comments to ensure they are appropriate. If you see a comment that you believe is inappropriate to the discussion, you can bring it to our attention by using the report abuse links. As the comments are written and submitted by visitors of the The Paypers website, they in no way represent the opinion of The Paypers.