While some common tricks of fraudsters are well-known, these bad actors continue to increase the sophistication and pervasiveness of their schemes. Recent data from the Federal Trade Commission revealed that consumers reported losing nearly $8.8 billion to fraud in 2022, a 30% surge from the year before. (Federal Trade Commission, 2023)
Whether it’s identity theft, imposter scams, or phishing scams, fraudsters are relentless, especially now with so many consumers using online and mobile channels to shop. (Fruad.com, 2023) This increase in financial fraud also means an uptick in consumers interfacing with their FinServ organizations. To ensure customers receive the help and support they need, FinServ workers can leverage AI solutions to enhance communication efforts.
AI-enabled automation for fighting fraud
There are several incredible benefits of AI when fighting financial fraud. In particular, AI can automate communications, eliminating the need for employees to painstakingly send a notification whenever they detect unauthorized access to a customer account, ransomware attacks, or any other fraudulent activity. Ideally, a FinServ employee wouldn’t even have to look for fraud, as AI can analyze enormous amounts of data and quickly recognize suspicious patterns faster than a human.
AI tools can also automatically perform fraud detection. For example, if AI notices irregular spending amounts or an abnormally large purchase, it can immediately alert the customer via text, email, or voice. Likewise, FinServ brands can use AI-powered automation to improve identity verification and authentication processes. By automating two-factor authentication and other customer verification methods, FinServ businesses will streamline tedious manual tasks for employees, like sending verification codes.
Similarly, FinServ companies can integrate AI into their business to automate internal communications and notifications. From recurring reports to reminding employees about submitting budgets, AI can reduce friction and save time. Moreover, automating these ongoing and critical communication processes and activities will give employees additional bandwidth to focus on other strategic initiatives while boosting customer loyalty and trust.
How to select the right vendor
Many vendors provide intuitive AI solutions and advanced communication capabilities, but few offer one comprehensive platform that can integrate seamlessly with other tools like MS Teams. In the same way, a vendor should also go beyond lip service and have the ability to demonstrate a commitment to security. And considering that FinServ brands experienced the second-largest number of known breaches in 2022, it is paramount that they choose the right communication automation platform vendor. (Flash Point, 2022)
FinServ brands should know what processes and tools their vendor uses to maintain communication security. Be sure to investigate a vendor’s various certifications and always be wary of those that think self-certifications are sufficient. It’s helpful to send a detailed questionnaire to different vendors to learn more about their security prioritization. Additionally, a model vendor will have support teams to troubleshoot issues, deploy projects, and notify clients of upcoming system patches.
Smart communicator for finserv organizations
IntelePeer’s communication automation platform, Smart Automation, empowers FinServ brands to deliver a seamless, automated customer experience. It also lets FinServs build, automate, and integrate communications and AI for a seamless experience across voice, SMS, social messaging, and more. Plus, our Managed Solutions team is available for white-glove service and support.
Connect with us today to learn how Smart Automation can enable you to fight fraud more effectively.