Financial institutions (FIs) have generally found fraud and financial crime to be continually more sophisticated. The rise of digital banking and ever-faster digital payment methods have accelerated this phenomenon. As a result, banks have had to elevate their systems and processes to find ways to stem the growth in fraudulent transactions — and the resulting uptick in financial losses.+
FIs are increasing investments and deployments of machine learning (ML) and artificial intelligence (AI) to combat growing fraud. Forty-eight percent of FIs are adding or will add new technology in the next year — especially the largest banks. FIs using these technologies already recognize them as powerful tools in stemming fraudulent transactions. Those currently using ML or AI technologies suffered, on average, 30% fewer transactions that resulted in fraud losses in the last 12 months than those that do not use these technologies.