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Empowering online banking fraud prevention with GenAI co-pilot


In the digital age, where technology permeates every aspect of our lives, the battle to safeguard sensitive information and protect against online fraud has intensified. As cyber threats grow in sophistication and frequency, banks and financial institutions turn to innovative solutions to fortify their defences.

At the forefront of this cyber defence arsenal lies Artificial Intelligence (AI), a powerful ally in the fight against online fraud. Yes, it’s been years since AI revolutionised the fraud detection space, but today it takes a step forward through Generative AI.

In this article, we explore the pivotal role of AI in online banking fraud prevention and how GenAI represents a significant opportunity for banks to shield their customers from advanced threats.

Artificial Intelligence: an ally against online fraud

In the realm of online banking fraud, the role of AI is multifaceted and profoundly impactful.

One key way AI contributes to fraud prevention is through machine learning algorithms. These algorithms are designed to learn from data, adapting and evolving to recognise new fraud tactics as they emerge. Unlike static, rule-based systems, machine learning enables dynamic analysis, allowing banks to move faster against fraudsters.

AI plays a critical role in enhancing the accuracy of fraud detection. Traditional fraud detection systems often rely on simple heuristics and are prone to generating many false positives. This burdens the bank's fraud analysis team and leads to a poor customer experience, as legitimate transactions may be unnecessarily blocked or delayed.
AI-driven systems, with their ability to analyse complex patterns and relationships within the data, can significantly reduce the occurrence of false positives.

This means that legitimate transactions are less likely to be flagged, ensuring a smoother customer experience while maintaining high security levels.

AI has been significantly impacting different areas of fraud detection, such as malware detection, transactional analysis, and behavioural analysis.

Behavioural biometrics is an example of technology that relies on ML algorithms to analyse the unique ways in which individual users interact with their banking apps or websites, such as their typing speed, mouse movements, and even the angle at which they hold their devices. By learning these patterns, AI can identify potential threats and flag them immediately.

Did you know that Behavioural Biometrics alone can’t help much against online banking fraud? Read our previous article “The reasons why Behavioral Biometrics alone cannot prevent online banking fraud”. to find out why.

In an era when cyber threats are constantly evolving and becoming more sophisticated, the correct integration of AI into security processes allows banks to analyse vast amounts of data, identify patterns, and detect anomalies at incredible speeds and in real time. 

This is paramount to ensure the best security of customers' financial assets and personal information. 

But what’s the next step for banks to boost online banking fraud prevention?

Empowering online fraud prevention with GenAI

Today, the game-changer in online banking fraud prevention is the integration of a Generative AI co-pilot that assists and empowers anti-fraud teams in their day-to-day operations.

Imagine having a tireless assistant capable of processing vast amounts of data at lightning speed, detecting subtle patterns, and uncovering anomalies that might evade human detection. Wouldn’t it be a dream?

GenAI co-pilot: benefits for banks

Relying on a fraud management solution that uses a GenAI co-pilot means banks can forget headaches generated by:

  • Skill shortage in fraud and cyber teams: Historically, skilled fraud analysts have been difficult to find, train, and retain. The increasing demand for hybrid cyber and fraud teams further exacerbates this complexity. The co-pilot helps by handling daily analysis, providing high-quality insights, and recommending actionable responses, leaving you to make the final decision.
  • Time constraints for complex investigations: A significant amount of time is dedicated to daily threat and fraud analysis, leaving limited time for more complex and impactful investigations. The co-pilot facilitates those by gathering, correlating, and analysing complex data across multiple dimensions to deliver valuable, actionable insights.
  • Seamless operations between fraud & cyber: The increasing demand for access to cyber team skills and support during fraud investigations adds complexity to maintaining a smooth and effective working process. The co-pilot eliminates barriers between cyber and fraud, integrating their analyses, interpretations, decisions, and responses to create a truly fused team.

Easy right? Yes, but… (there’s always a but).

GenAI co-pilot against online banking fraud

As we saw, the potential of a GenAI co-pilot to empower online banking fraud prevention is extensive. But it’s not that easy.

To have the best answers to your problems, you must rely on a co-pilot built in the best way.

This means feeding it with real-time and continuous access to a comprehensive set of data that captures every micro aspect of user sessions, including biometric, transactional, and malware indicators. This enables the co-pilot to correlate and identify attack patterns instantly and in context.

Moreover, what helps unlock the GenAI co-pilot's full potential is the possibility of accessing Threat Intelligence insights and discoveries from outside your organisation in real-time. By staying updated on the latest advanced threats uncovered by skilled fraud analysts, AI remains equipped to combat emerging security risks effectively.

Lastly, the GenAI co-pilot must have access to real-time information across the entire client network to correlate ongoing attacks and stop them before fraud happens. By learning from incidents in one bank, for example, the AI can transfer knowledge and insights to bolster the security posture of all other institutions within the network. This interconnected approach enhances the ability to detect and respond to threats swiftly and comprehensively.

Meet Eura: the first AI cyber fraud agent

Search no more.

Eura is Cleafy’s GenAI co-pilot built to enable the cyber-fraud fusion that banks have longed for.

A new approach that can revolutionise the entire online banking fraud prevention industry.

Meet Eura, Cleafy's GenAI co-pilot

Leveraging cutting-edge AI models, Eura optimises efficiency like never before. It combines cybersecurity and anti-fraud functionalities into a user-friendly interface, eradicating the traditional barriers between these domains and empowering analysts of all levels.

Eura seamlessly integrates into the anti-fraud team, providing instant access to Cleafy's knowledge and expertise. The agent simplifies complex tasks through natural language interaction. With basic queries, it accelerates the analysts' workflow, from routine operations to intricate tasks like creating patterns or rules for automated responses.

Eura isn't just a tool. It's a strategic ally, directly injecting Cleafy's wealth of expertise into the arsenal of every anti-fraud team. With actionable insights delivered in real-time, Eura ensures swift responses and informed decision-making, transforming how financial institutions navigate security challenges.

To learn more about Eura visit our dedicated website page

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