Author: Vivekananda J

Even as banks further tighten controls and processes for fraud risk management, they also need to consider some of the key technologies now available to combat fraud.

Robotic Process Automation is driving smarter, cost-effective financial crime risk management. Clari5 explores RPA-integration in bank fraud investigations.

One in every 2500 calls to an IVR is fraudulent. With advancements in AI and ML, IVR systems can be made to deliver a richer and more secure customer-centric experience.

One can leverage Machine Learning as the situation warrants in a smart way, it shouldn’t be force-fit into every situation which could otherwise be handled successfully. With the advent of newer technologies, we can expect fraudsters to invent more novel attempts. So, it is imperative that the Fraud Management System is continuously enriched to discover emerging fraud patterns and arrest them from occurring.

It may be premature and, as some critics claim, presumptuous, to readily imagine a world where ‘cognitive consonance’ of non-organic, silicon-based entities blurs the lines of reality as we currently (and organically) understand it. That said, it is not difficult to objectively view and perhaps embrace the reality of AI changing the fundamental building blocks of modern economy, as we know it.

Anti-Money Laundering laws and mechanisms prevent money obtained illegitimately from entering the formal economy thereby legitimizing its source. However, it is a constant battle between the launderer and the regulator.

Of the several significant innovations in the financial services universe, one key technology innovation has been the robotized financial advisor aka the robo-advisor.

It is perhaps an overwrought cliché these days to begin all serious contemplation through the digital lens. Nowhere is this truer than in the case of the BFSI sector, which has seen it’s fair share of upheavals in the last several months. Most notably (and perhaps tellingly), ‘Digital’ Fraud and Risk Management features high on the agenda of bank boards, as they grapple with new threats and new realities everyday.

Fintech has brought unprecedented disruption in the financial services ecosystem. While traditionally, fintech was used for back office banking operations, today it has DIY modes where customers rely less on a brick and mortar bank for their banking needs, and instead have a multitude of digital channels at their disposal. With 24/7 device-agnostic access, virtually every transaction is now digitally possible.

Financial inclusion plays a vital role in socio-economic development particularly in developing economies. While nations in sub-Saharan Africa have been investing substantial efforts to make financial services available to the underprivileged and marginalised, a vast majority still use informal modes to pay, save and lend.