Bhutan Banks on Technology to Detect and Prevent Fraud

A Growing Concern: Banking Fraud in Bhutan

With 52 percent of banks in Bhutan expressing high levels of concern about fraud, it’s clear that financial institutions are taking a proactive approach to prevent and detect banking crimes. Banking fraud is a type of financial crime that uses illegal means to obtain money, assets, or other property owned or held by a bank, other financial institution, or customers of the bank.

Types of Fraud in Bhutan

Banking fraud can include:

• Identity theft
• Check fraud
• Credit card fraud
• Phishing
• Direct deposit account fraud

These malicious efforts allow scammers to steal personal and account information through use of email, text messages, or online activities.

Top Concerns for Banks in Bhutan

Some of the top concerns for banks in Bhutan include:

• Authorized push or wire transfer payment fraud
• Transactional fraud
• Account takeover
• First-party fraud
• Third-party fraud
• Synthetic identity fraud

Prevention and Detection with Technology

To prevent and detect banking fraud, financial institutions in Bhutan are investing in new technologies such as:

• Artificial intelligence (AI) and machine learning (ML)
• Behavioral analytics and biometrics
• Leveraging additional data sources

Experian’s interconnected approach to fraud detection in banking is being used by some of the country’s banks to track and assess various activities and determine where additional authentication, friction, or human intervention is required.

A Proactive Approach

By staying ahead of the curve with new technologies and techniques, Bhutan’s financial institutions are working to prevent and detect banking fraud, protect customers’ data, and maintain a positive reputation in the industry.