Download this free guide with best practices for establishing a fast, effective fraud detection program.
This introductory guidebook for fraud and AML compliance professionals provides an in-depth review of the most common fraud methods and scams that bank and credit union customers face, plus:
Leaders within financial institutions are frequently tasked with grasping the full scope of a bank's fraud losses and their impact. Recognizing that the repercussions extend far beyond the immediate monetary losses from each fraudulent transaction is essential.
Fraudsters are continuously adapting their methods, creating new and increasingly sophisticated typologies. As professionals in fraud prevention, staying ahead of these threats requires more than just awareness—it demands deep expertise and an understanding of the latest trends shaping criminal behavior. This section will explore the most pressing fraud typologies including check, wire, and P2P fraud, equipping you with the knowledge and strategies necessary to safeguard your organization and mitigate emerging risks.
Cryptocurrency is fast becoming a favorite for scammers, not just in the murky realms of the dark web but in everyday transactions. Fraud involving cryptocurrency represents more than half of the reported fraud losses in 2023 at $5.6 billion. Why is cryptocurrency fraud skyrocketing? It boils down to opportunity. In another concerning trend, AI-enabled fraud losses in the U.S. are projected to soar to $40 billion by 2027, a significant jump from $12.3 billion in 2023. This sharp increase signals an urgent need for financial institutions to strengthen their fraud detection measures and stay ahead of these sophisticated threats. While AI will undoubtedly increase fraud attempts, AI and ML are part of the solution to mitigating risk through better detection.
Many of the fraud typlogies discussed in this guidebook are best combatted with the help of new and improving fraud detection software. Introducing new banking products in the financial services industry is an exciting venture and what gives financial institutions a competitive advantage. However, with all innovation comes great responsibility, especially when it comes to safeguarding those new products against fraud. Financial crime professionals should insist on a seat at the table when new banking products are first introduced.
Download this free training guide with best practices for establishing a risk-based AML/CFT compliance program.
This introductory guidebook for AML compliance provides best practices for integrating technology in your AML/CFT and fraud programs, including:
Ensuring the technology behind your AML/CFT program is used to its fullest capabilities is vital for maintaining a sound compliance program. Taking the first step toward automating your AML/CFT program can be daunting. Use this chapter as a checklist to gauge your program's preparedness to embrace new techology.
One of the best ways to address dynamic and emerging risks is to conduct above-the-line/below-the-line testing to ensure your software operates at its peak efficiency. Above-the-line/below-the-line testing is a statistical exercise that rigorously analyzes transaction monitoring parameters to identify the optimal settings for suspicious activity monitoring for your institution’s unique risk profile.
Cloud computing environments allow cloud service providers to segregate and serve multiple clients on a standard set of physical or virtual hardware. Three of the more common cloud service models have different levels of shared responsibilities between provider and client and are listed in this chapter.
Banks and credit unions handle sensitive financial data and transactions that affect millions of customers and businesses. They also face constant cyberattacks from hackers who seek to disrupt services or steal money or data. With the right training, banks and credit unions can reduce their own cyber risks and improve customer and member trust.
Artificial intelligence (AI) has become a global game-changer, offering innovative solutions and efficiencies that were once unimaginable. While AI provides tremendous benefits to financial institutions—streamlining operations, enhancing customer experiences, and bolstering security—it also presents new opportunities for criminals. This chapter explores some of the more common AI methods fraudsters use to prey on their victims and how AI can help combat fraud.
Download this free training guide with best practices for establishing a risk-based AML/CFT compliance program.
This introductory guidebook for AML compliance provides an in-depth review of the AML Act of 2020, OFAC compliance, and suspicious activity monitoring for fraud and other financial crimes. Learn about:
The Anti-Money Laundering Act of 2020 (AMLA) was the first amendment to the Bank Secrecy Act in nearly two decades. As regulations and guidance continue to unfold, learn what AMLA requires and how to monitor and report suspicious activity.
Learn about some of the oldest and most common forms of money laundering and fraud: real estate money laundering and elder financial exploitation. Read FinCEN guidance on these topics and set up your AML/CFT and fraud programs for success.
These chapters educate staff on how current events at the U.S. border may impact their AML/CFT responsibilities. Learn regulator expectations for financial institutions in areas affected by these complex issues and how to prevent financial crimes associated with them.
Financial institutions act as the front-line defense and exercise preventative measures on behalf of the U.S. government. Additionally, many companies are required to begin reporting to the U.S. government information about beneficial ownership or who ultimately owns or controls them. Learn how these policy rules must be accounted for in an effective AML/CFT program.
Download this free training guide with best practices for establishing a risk-based AML/CFT compliance program.
This introductory guidebook for AML compliance provides an in-depth review of the pillars of the Bank Secrecy Act (BSA) and everything you need to build a risk-focused AML/CFT program, including:
Regulators adapt their scrutiny accordingly to a financial institution's unique risk profile, so comprehensive, board-approved risk assessments are crucial for identifying and mitigating risks, aligning resources, and ensuring program effectiveness. Is your AML department taking a risk-based approach?
Strong internal controls ensure operational continuity and regulatory adaptability. For example, compliance officers need authority, independence, and resources to oversee AML/CFT efforts. Staff training must be role-specific, current, and documented. Due diligence processes should identify and monitor higher-risk customers, beneficial owners, and suspicious activity.
Continuing education for AML/CFT officers is vital, with certifications and industry events offering knowledge and networking opportunities. This chapter lists budget-friendly ways to offer continuing education and emphasizes that department sustainability depends on proactive planning, succession strategies, program calibration, and cooperation with other departments.
The Financial Action Task Force (FATF) focuses on combating terrorist financing, addressing deficiencies in high-risk jurisdictions, and regulating virtual assets. The Federal Financial Institution Examination Council (FFEIC) guidelines require institutions to allocate suitable resources, grant AML/CFT officers authority, and ensure compliance programs are risk-based and adaptable.
FinCEN’s long-anticipated AML/CFT program rule and new legislative action on cannabis banking will both be a gamechanger for financial institutions. Read the guide to learn about the ramifications of these expected decisions and what financial institutions should be doing to prepare.
Enforcement cases reveal how understaffing, poor documentation, and unresolved deficiencies lead to significant penalties. Institutions must prioritize hiring qualified staff, addressing regulatory feedback, and documenting compliance efforts. Download the guide for example cases and tips on avoiding fines and reputational harm.
Leaders at financial institutions are constantly tasked with making key decisions that impact an institution’s financial performance, outlook, and strategy. Meanwhile, they must navigate the added pressures of changing economic landscapes, interest rates, customer demand, etc. that come into play. This is where a sound and robust asset/liability management (ALM) model is crucial to help navigate the uncertainty and make better strategic decisions. This ALM eBook explains how asset/liability management can help financial institutions get the most profitability out of their balance sheets while managing their risk profiles.
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