Australia’s leading banks are testing a new fraud and scams intelligence-sharing network utilizing behavioral and device-based technology from security vendor BioCatch.
ANZ, Commonwealth Bank of Australia, National Australia Bank, Suncorp Bank, and Westpac are participating in this pilot program, which aims to combat fraud and scams by assessing the potential risks in real-time linked to accounts receiving domestic online payments from customers.
If the network detects risks associated with a receiving account, BioCatch will relay this intelligence to the sending bank instantly, enabling a review of the transaction before any funds are transferred.
BioCatch Trust integrates behavioral intelligence with data on digital sessions, payments, accounts, devices, and non-monetary events to evaluate the risks linked to receiving accounts. The company claims this approach will assist banks in preventing scams where fraudsters deceive victims through email, text messages, or social media.
James Roberts, head of group fraud at Commonwealth Bank of Australia, emphasizes that “BioCatch Trust is the first instance of banks sharing information in real-time before a payment is processed. This world-first initiative will offer protection to Australians against financial losses due to scammers.”
Nonetheless, Chris Sheehan from NAB echoes concerns raised by banks in the UK, emphasizing that technology platforms and telecommunications companies must take more proactive measures against fraud before situations arise that necessitate the BioCatch network. He remarks, “By the time BioCatch Trust triggers an alert for us to respond, someone has already attempted to make a payment, indicating they’ve received a scam message or clicked on a link leading to a fraudulent investment scheme on platforms like Facebook or Google. We need to do more, and these industries need to enhance their efforts to eliminate harmful content from their channels.”