Preventing fraud is one of the most important things that your financial institution has to do, and you need to choose your anti-fraud solution carefully. Your need fraud prevention and detection tools that leverage artificial intelligence and machine learning to analyze transactions in real time for signs of fraud. Beyond that, you need to think of how these tools work and how your staff will engage with them.
In particular, you should look for the following features when choosing your next anti-fraud solution.
1. Intuitive Dashboards
The dashboard is where you interact with your anti-fraud solution. It should give you an overview of the different types of fraud risks so that you can drill down for more details. It should also provide your review team with the context they need to make a decision about fraud.
When the system flags a transaction for a potential case of fraud, the dashboard is where your employees will review the transaction. They need to be able to easily access the information they need. For instance, if they’re reviewing a check for fraud, they should be able to compare the signature on the check to a copy of the customer’s signature that you have in a database.
Most importantly, the setup should be intuitive. While a learning curve is expected, you don’t want software that is too hard to use. Request a demo or talk about training before you commit to an anti-fraud solution.
2. Managed fraud services
Your fraud team may want to work banker’s hours, but your customers need 24/7/365 protection against fraud. Many elements of fraud detection software rely on human input. The software requires your fraud team to review transactions and decide which steps to take next.
Unfortunately, unless you run a very large organization, you probably don’t have the resources to staff a 24/7 fraud review team. That’s where managed fraud services come into play.
When you choose an anti-fraud solution backed by managed fraud services, you get a team of people who can review fraudulent transactions when your employees are not available. Ideally, the monitoring should be done by Sigma Six trained analysts who have extensive training in the financial sector. You should also ensure that they use a secure connection to access your data so that you don’t incur any additional risks during this process.
3. Customizable rules
Effective anti-fraud solutions take a dynamic approach to fraud. They use AI to get to know the nuanced differences between legitimate and fraudulent transactions, and they’re highly accurate.
However, your financial institution doesn’t solely have to rely on AI. You may want a system where you can also enter different rule sets. Then, you can customize the rules based on your experiences with fraud at your particular financial institution.
4. Easy integration
Banks face multiple types of fraud, and they invariably end up using multiple types of fraud prevention tools. When choosing a new anti-fraud solution, you need to ensure that it can easily integrate into your current network and work with your existing fraud prevention tools. Talk with your sales rep about integration challenges and solutions so that you know what to expect.
5. Fast deployment
You also want a system that is ready to go as quickly as possible. Once you identify the need to improve your fraud detection processes, you don’t want to be inactive. The longer it takes for the solution to be ready, the longer you and your customers are vulnerable to fraud.
6. Hosting
When you work with a company that can host your anti-fraud solutions, you generally get a much faster deployment time. For instance, at SQN Banking Systems, we can get our hosted clients up and running in less than two weeks.
Additionally, you save money on technology costs. You don’t have to worry about investing in or maintaining expensive IT equipment when you opt for hosting. You may also want to look into software-as-a-service if you’re interested in cloud-based solutions that help cut tech costs and IT responsibilities.
7. Cyber threat intelligence
The people who make your anti-fraud solutions need to understand all of the threats in the world of bank fraud. If they don’t, they won’t be able to build and maintain the most effective solutions. Generally, the most effective way to learn about fraud is to monitor the criminals.
When you leverage cyber threat intelligence, you can take a proactive approach to fraud. If you select an anti-fraud tool based on this type of intelligence, you can rest assured that your financial institution is ready for new and emerging fraud threats. You also get constant monitoring of compromised credit card numbers, customer IDs, or stolen data. Then, you know when these elements have been sold or used for fraud.
At SQN Banking Systems, we focus on fraud so that our customers can focus on the other aspects of running a financial institution. We offer a variety of fraud solutions with intuitive dashboards, seamless integration, and fast deployment. We also offer hosting, managed fraud services, and cyber threat intelligence. Ready to learn more? Then, contact us today.