Only 2% of APAC bank leaders confident in scam detection

About 49% said they are not very confident and 2% are not confident at all.

More than half or 51% of senior banking leaders across the Asia Pacific region said they are not confident that their bank can detect customer manipulation before a payment is made, with only 2% saying they are very confident.

In a poll of 51 C-Suite executives of banks across APAC, 49% said they are not very confident and 2% said they are not confident at all, according to FICO, a data analytics company.

Meanwhile, 46% are only somewhat confident, and only 2% said they are very confident.

Scammers are increasingly manipulating legitimate customers into authorizing payments themselves, rather than trying to defeat the bank’s security controls directly, according to Dattu Kompella, managing director in Asia Pacific for FICO.

Majority or 77% of respondents supported bank intervention as soon as behavioral warning signals indicate a significant risk.

Meanwhile, 10% favored warning customers whilst generally allowing them to decide whether to proceed.

Meanwhile, 8% would only intervene once a suspicious transaction is attempted whilst 5% would wait for strong evidence that a scam is underway, FICO found.

FICO said that 54% identified better behavioral analytics and connected fraud intelligence as the most important capability for detecting changes in customer behavior and improving scam prevention.

About 2 in 5 or 39% of respondents said that the inability to share intelligence quickly enough across banks, telecommunications providers and social media platforms is a major weakness in scam prevention.