Latest news with #scamdetection
Finextra
21-07-2025
- Business
- Finextra
PayPal introduces AI-powered scam alerts
PayPal has launched AI-powered, dynamic scam detection for PayPal and Venmo Friends and Family payments, enhancing protection for our customers around the world. 0 This content is provided by an external author without editing by Finextra. It expresses the views and opinions of the author. Designed to proactively alert customers to potential scams and prevent losses in real-time, the alerts intervene when it matters most – before any funds are sent. As scammers attempt to coerce people into sending payments that may not be eligible for refunds, including scams that originate on social media, we believe putting more information directly into customers' hands will empower them to help stop scams in their tracks. As trusted leaders in efforts to prevent fraud, PayPal is proud of our initiative to combat the ever-changing tactics of scammers. We do not tolerate scams and work hard to protect our customers, including shutting down fraudulent accounts and blocking suspicious activity. Our approach to addressing fraud is multi-pronged, comprised of building innovative technologies, leveraging investigative research led by our team of experts, and refining our risk controls to help prevent bad actors from accessing our platforms. Given fraudsters frequently change their methods to try to evade detection, staying ahead of the latest trends and continually enhancing our tools are critical aspects of our efforts. When building PayPal's dynamic alert system, we focused on both effective fraud mitigation strategies as well as enhancing the user experience. The alerts pop up when the system detects a potential scam, sharing critical and relevant information about the likelihood of fraud right at the point of payment. To help stay ahead of the curve, the alerts learn and adapt to evolving scam tactics. PayPal's system leverages continually learning AI models that quickly analyze billions of data points and update when patterns change. This means our system can help more quickly detect a potential new scam, even if we have never seen that specific scam before. Unlike traditional, one-size-fits-all static warnings, PayPal's alerts are dynamic and tailored to be shown based on the likelihood of fraud for each transaction. The system shares messages that appropriately reflect the risk level of the payment customers are trying to make. It also sends progressively stricter alerts as its confidence that a scam exists grows and adds more friction into completing payments for higher-risk scenarios. We continue to automatically decline payments that we detect as highly risky. The alerts are live in all global markets in which PayPal operates, and across the U.S. on Venmo. For any questions, our PayPal and Venmo Customer Support teams are always available to help. Learn more about PayPal's fraud prevention efforts and our educational tips to spot and avoid scams on the PayPal Security Center.
Globe and Mail
10-07-2025
- Business
- Globe and Mail
Barclays and FICO Win Credit Award for Excellence in Fraud Prevention
Barclays Bank's fraud team and global analytics software leader FICO have won a prestigious Credit Award for Excellence in Fraud Prevention. The award, presented in a gala event in Wales, recognizes Barclays' use of an innovative solution from FICO and Jersey Telecom (JT) called Scam Signal to reduce card fraud losses & protect customers from the harm caused by social engineering scams. Barclays forecast a 6% reduction in card fraud as a result of the deployment, which identified 9 social engineering victims on its first day. More information: UK Finance reported losses of £450 million in the UK last year from Authorised Push Payment Fraud, where consumers are tricked into authorising payments to scammers. 'Barclays recognises how impactful this type of fraud is to our customers and have supplemented our existing fraud defences with the latest technology when we suspect customers are being socially engineered,' said Nicola Winter, director of plastic fraud at Barclays Bank. 'We will then intervene to 'break the spell' the fraudster casts. Whilst fraudsters target all segments of society it can be particularly harmful for vulnerable customers.' Scam Signal, developed by FICO and Jersey Telecom in collaboration with the GSMA and UK Finance, uses real-time telephony data to detect potential scam activity. Scam Signal marks the first use of real-time telco data within Barclays' analytical decisioning solutions. Scam Signal is accessed in real time by Barclays within FICO ® Customer Communication Services , integrated via an API to the respective networks via JT. If intervention is warranted, FICO's customer communications rules and decisioning capabilities are used to present customers with personalised, highly contextualised messages, delivered in the channel of customer choice, to break the spell. 'In addition to the fraud loss reduction, Scam Signal is also having a positive impact on our customers, who have told us they feel grateful for the increased protection we can provide to help keep them safe,' said Winter. 'One of our front-line colleagues wrote, 'The new control is great. It allowed me to talk the customer out of a crypto currency scam and provide some education around investment and crypto scams.'' 'We are immensely proud of this award and our work with Barclays,' said Nikhil Behl, president, Software at FICO. 'Barclays wed customer commitment with innovation and our partnership with them is producing fantastic results. In the fight against fraud and scams, the criminals are using the most advanced technology — banks must do the same to keep their customers safe.' Scam Signal won the Best Anti-Fraud Solution award at the Credit & Collections Technology Awards in 2024, as well as a Silver Medal for Best Scam and APP Fraud Prevention Solution from Datos Insights in the 2024 Fraud Impact Awards. The Credit Awards, presented by Credit Strategy, are judged by an independent panel. The full list of Credit Award winners for 2025 can be found here. About Barclays Bank Our vision is to be the UK-centred leader in global finance. We are a diversified bank with comprehensive UK consumer, corporate and wealth and private banking franchises, a leading investment bank and a strong, specialist US consumer bank. Through these five divisions, we are working together for a better financial future for our customers, clients and communities. For further information about Barclays, please visit our website About FICO FICO (NYSE: FICO) powers decisions that help people and businesses around the world prosper. Founded in 1956, the company is a pioneer in the use of predictive analytics and data science to improve operational decisions. FICO holds more than 200 US and foreign patents on technologies that increase profitability, customer satisfaction and growth for businesses in financial services, insurance, telecommunications, health care, retail and many other industries. Using FICO solutions, businesses in more than 80 countries do everything from protecting 4 billion payment cards from fraud, to improving financial inclusion, to increasing supply chain resiliency. The FICO® Score, used by 90% of top US lenders, is the standard measure of consumer credit risk in the US and has been made available in over 40 other countries, improving risk management, credit access and transparency. Learn more at
