Thai Banks Boost Fraud Detection

Thai Banks Boost Fraud Detection with Advanced Technology

Rise of Credit Card Fraud in Thailand

Credit card fraud is on the rise in Thailand, with industry reports indicating a 20% annual growth rate in the Asia Pacific region. This has resulted in significant losses for businesses, estimated at around US$400 million per year.

The Vulnerability of Thai Businesses

More than half of businesses in Thailand lack advanced fraud detection technology, leaving them vulnerable to substantial losses and dissatisfied customers.

Krungsri Consumer’s Solution

Krungsri Consumer, a subsidiary of Bank of Ayudhya with $71 billion in assets, has become the leading consumer finance business in Thailand. To sustainably grow its consumer banking division, the bank recognized the need for a more robust fraud monitoring system to mitigate fraud and reduce losses.

The Old System’s Limitations

The bank’s previous 15-year-old fraud detection system was outdated and unable to keep pace with emerging fraud trends. It produced too many false positives, which hindered its effectiveness.

Implementing SAS Fraud Management

Krungsri Consumer replaced its incumbent system with SAS Fraud Management, a cutting-edge solution that employs analytics and machine learning to monitor credit card transactions for suspicious behavior in real-time.

The Benefits of SAS Fraud Management

The new system has provided significant benefits, including:

40% reduction in case alert volume
35% improvement in fraud detection rate
18% decrease in false positives

Improved Productivity and Customer Experience

The advanced technology integration has also improved the productivity of Krungsri Consumer’s fraud monitoring team, enabling them to investigate cases more efficiently. The bank’s cardholder contact rate has improved by over 50% compared to the old system.

Senior Management’s Approval

Senior management is pleased with the results, as the new system has reduced the time needed for each case and improved overall performance.

Conclusion

Krungsri Consumer’s success in implementing SAS Fraud Management demonstrates the importance of investing in advanced technology to stay ahead of fraudsters. As the threat of credit card fraud continues to grow, banks must prioritize their investment in robust fraud detection systems to protect themselves and their customers.