In the second part of this series, FinextraTV and Chris Oakley, Head of Fraud, Form3, highlight a significant change to come in the industry, with banks having to double down on it due to the upcoming regulations of PSR in the UK and PSD3 across the European Union that they focus on the risk associated with receiving a payment, rather than just sending a payment, as has been the case in the past. Since the current fraud screening methods have been developed for outgoing payments, after the introduction of these regulations, the PSR will force receiving banks and sending banks to share liability for fraud and pay compensation to victims. This dichotomy must also lead to changes in the way money mules are detected, which is also typically ex post – where this convergence of anti-fraud and anti-money laundering takes place, risks need to be managed in real time and from a broader unified perspective Customers will be of utmost importance.
Watch Part 1 here: Fighting Fraud with Form3: The Importance of Collaborative Intelligence
To find out more, click here: Combating APP Fraud: How to Build a Best-in-Class Fraud Prevention Solution
