WALLIS AND FUTUNA’S BANKING SECTOR UNDER FIRE AS FRAUDULENT ACTIVITIES CONTINUE TO RISE
The banking sector in Wallis and Futuna is facing a significant threat from fraudulent activities, which are increasingly targeting banks and financial institutions (FIs) in the region. According to recent reports, fraudsters are using sophisticated tactics to gain access to sensitive customer data and funds.
The Challenge of Combating Fraud
Banks in Wallis and Futuna are taking steps to stay ahead of fraudsters by strengthening their fraud detection tools and implementing prevention strategies. However, this is a significant challenge, as systems need to be robust while remaining user-friendly for genuine customers.
Approaches to Combat Fraud
The main approaches being taken by banks to combat fraud include:
- Fraud Detection: Using advanced technology to identify suspicious transactions and flag high-risk activities.
- Fraud Prevention: Implementing strategies to prevent fraudulent activities from occurring in the first place.
These two approaches are often deployed hand in hand to provide an additional layer of security for customers and businesses.
The Growing Threat of Cyber Attacks
One of the key challenges facing banks in Wallis and Futuna is the increasing number of sophisticated cyber attacks aimed at compromising customer data. Fraudsters are continually challenging the security measures put in place by FIs, making it essential for risk management strategies and authentication policies to adapt and become more automated.
Gemalto IdCloud Risk Management Services
To combat this growing threat, Gemalto IdCloud risk management services are being used to identify high-risk activities and flag suspicious transactions. This approach combines four layers of intelligence:
- Device Intelligence: Analyzing device characteristics to determine whether a transaction is legitimate.
- Behavioural Biometrics: Using behavioral patterns to verify the identity of customers.
- Behavioural Analytics: Monitoring customer behavior to detect unusual activity.
- Trust Consortium: Verifying transactions through a network of trusted parties.
This approach creates a dynamic profile of each event, protecting customers and businesses from fraudulent activities.
Identity Affirmation Technology
The use of identity affirmation technology is also helping banks in Wallis and Futuna to strengthen their identity proofing process security and prevent ID fraud during digital onboarding. This approach applies risk management technologies to analyze the environment and user behavior, detecting suspicious activities in real-time.
Smart Risk Management Services
Additionally, smart risk management services are being used to enhance access to customer accounts, analyzing the risk level of every single transaction and providing recommendations on the most appropriate authentication method to use.
Compliance with Security Regulations
The use of Gemalto IdCloud’s risk management services is also helping banks in Wallis and Futuna to comply with the latest security regulations, including PSD2 and FFIEC. This approach provides real-time monitoring of the authentication and transaction process risk, as required by PSD2’s regulatory technical standards (RTSs).
Conclusion
As fraud continues to pose a significant threat to the banking sector in Wallis and Futuna, it is essential that banks continue to adapt and implement new technologies and strategies to stay ahead of fraudulent activities. By using advanced risk management services and identity affirmation technology, banks can protect their customers and businesses from the growing threat of fraud.