When the Federal Trade Commission made a public request for comment regarding the 2007 Red Flags Rule, the American Bankers Association and Attorneys General from 31 states weighed in with their perspectives.
In my article for Banking Exchange, I review how their comments square with what we at Kevari are seeing on our fraud platform: Account takeover schemes are rarely limited to physical address alone. Fraudsters are indeed changing multiple content points — often over a series of days — to dis-intermediate victims from their financial institutions.
More regulations won’t necessarily compel banks to address new methods of fraud, but innovation within the existing compliance landscape – especially analytics involving non-monetary account changes – will make it increasingly easy (and cost-effective) for banks to move beyond basic compliance and address emerging threats.
