BioCatch, the global leader in digital fraud and money laundering detection and response powered by behavioral biometric intelligence, announced the introduction of its next-generation Connect product portfolio. BioCatch Connect is a first-of-its-kind, fully integrated fraud and AML product portfolio that proactively detects and accelerates targeted interdiction of fraudulent activities and identifies criminal actors targeting customers of the world’s largest brands.
BioCatch Connect comes at a pivotal time for the global financial community. Financial scams, such as authorized push payment and remote access scams, increased 30% last year, according to BioCatch data. In the past, these scams were considered “authorized,” leaving consumers unprotected and fraud reimbursement largely up to each individual financial institution. With new regulatory proposals, such as the UK’s Payment Systems Regulator (PSR) and more recent EU Payment Services Directive III (PSD3), requiring mandatory reimbursement and shared liability models between the sending and receiving banks, the financial industry is being compelled to reevaluate fraud management and AML practices.
In a study conducted by Forrester Consulting in June 2023, three out of four financial institutions cited better integration between fraud management and AML capabilities as critical to their ability to respond to financial crime quickly. More recent research by Datos Insights (formerly Aite-Novarica Group) found that nearly two-thirds of financial institutions have made organizational changes within the last two years to improve collaboration and shared services between their fraud and AML practices.
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“A trend has been building around how financial institutions approach the challenge of managing trust relationships with their customers in a manner that is more deliberate and formally structured around preserving, protecting and promoting customer safety,” said Trace Fooshee, Strategic Advisor, Fraud & AML at Datos Insights. “This trend has been accelerated by the alarming increase in authorized payment fraud, synthetic identity fraud and mule activity that is increasingly prompting regulators, legislators and payment networks in many markets to consider shifts in liability for reimbursing scam victims to sending and receiving FIs. The shift towards a more holistic corporate strategy for mitigating all aspects of financial crime is increasingly reflected in trends in how FIs are transforming their fraud, AML and cybersecurity units.”
Introducing BioCatch Connect
The BioCatch Connect portfolio reimagines the traditional technology approach to fraud fighting and money-laundering investigation to enable enhanced, targeted, and collaborative mitigation of financial crimes that exploit banking customers and target their assets. Unlike legacy fraud detection solutions, BioCatch Connect puts behavioral biometric intelligence at the center of its artificial intelligence and machine-learning models rather than as a secondary signal.
By integrating application, behavior, device, network, and transactional telemetry continuously from session inception to completion, across a community of millions of users worldwide, signal fidelity becomes significantly more accurate, with measurably fewer false positives, meaning greater efficacy for fraud and AML teams.
SOURCE: PRNewswire