Human Scrutiny Before Transactions a Critical Differentiator for Banks

In today’s complex financial landscape, banks are under intense pressure to stay ahead of the curve when it comes to fraud prevention and anti-money laundering (AML) measures. A new study by SEEBURGER and Celent reveals that human scrutiny before transactions has become a critical business differentiator for financial institutions.

Staying Ahead of the Game

Banks that fail to implement effective fraud prevention and AML measures risk facing significant financial losses, erosion of customer trust, and severe penalties for non-compliance. In today’s digital age, staying ahead of shifting markets and new risks is not optional - it’s imperative for banks to remain competitive in a rapidly evolving landscape.

The Power of Data

Financial institutions are sitting on a treasure trove of valuable data, but much of this information remains siloed and fragmented, making it difficult to access and utilize. By bringing together customer profiles, transactions, business processes, customer service experiences, and external sources, banks can identify risk factors such as fraudulent activities or money laundering.

ISO 20022: A Game-Changer

The ongoing migration to the ISO 20022 messaging format is set to introduce standardization, structure, and greater richness in payments data. This will enable banks to capitalize on additional remittance data, including structured information on debtors and creditors, creating an unbroken chain of information that makes following the trail of laundered money much easier.

The Future of Fraud Prevention

An intelligent, predictive fraud prevention and AML program can help financial institutions unlock the full potential of their data. By combining cutting-edge detection technologies such as machine learning, robotic process automation, and artificial intelligence with a comprehensive data ecosystem, banks can establish holistic risk profiles of customers, accounts, and transactions - freeing investigative teams to focus on real problem cases instead of wasting time on false positives.

Join the Conversation

Don’t miss our free SAS and SEEBURGER mid-year pulse check webcast on trending anti-fraud and financial crime compliance. Register now and join the conversation on how to stay ahead of the game in today’s rapidly evolving landscape.

Report to the Nations by the Association of Certified Fraud Examiners (ACFE), 2022
Overview of Money Laundering by the United Nations Office on Drugs and Crime (UNODC)

Source: “Ready Or Not – Here It Comes: There’s No Hiding From ISO 20022” joint survey by SEEBURGER and Celent, 2022.