Published: May 15, 2020
Fighting fraud the AI way
Many banks are investing heavily in artificial intelligence and machine learning technologies, with a view to protecting their systems against criminal activity.
Over the last couple of years, banks and financial service firms have begun to get serious about artificial intelligence (AI). In December, Mastercard announced it was acquiring AI and data analytics firm RiskRecon, with a view to reducing customers’ cybersecurity risk. Deutsche Bank has said it is using machine learning tools to achieve its target of 18,000 jobs cut. And in June last year, HSBC announced plans to invest in AI to combat the ‘sophisticated end’ of fraud.
Sundeep Tengur, a fraud and financial crimes specialist within the Global Fraud and Security Intelligence Practice at SAS, says these kinds of investments are becoming more prevalent across the industry.
“The use of AI is quite nascent – it’s really started in the last 18 months or so,” he tells EMEA Finance. “We now have highly commoditised hardware infrastructure, which can run these techniques on large-scale data, and that’s why AI’s becoming more popular and more feasible.”