A new study from Juniper Research, the foremost experts in fintech and payments markets, has found that the value of fraudulent banking and money transfer transactions is anticipated to increase 153% over the next five years; up from $19 billion in 2024. The use of AI by fraudsters is putting an additional strain on banks. In turn, however, banks are becoming increasingly sophisticated in their use of AI to combat this threat.
Which Fraud Detection and Prevention Vendors Lead the Market in 2024?
The new Competitor Leaderboard for fraud detection and prevention in banking ranks the top 15 vendors by a number of criteria such as the completeness of their solutions, geographical spread, and future business prospects.
The leading 5 vendors for 2024 are:
- LexisNexis Risk Solutions
- Mastercard
- Visa
- ACI Worldwide
- Thales
Competitor Leaderboard Findings & Recommendations
The leading players scored particularly well on their level of innovation and the breadth of their offerings. The report however cautioned that to stay ahead, as vendors must develop faster real-time solutions which can better address scams, such as APP (Authorised Push Payments) fraud.
Report author Cara Malone explained: “Instant payments mean greater speed; lessening the time window that banks have to intervene, and limiting the effectiveness of traditional fraud detection tools. Fraud detection & prevention vendors need to implement AI to enable a shift to real-time risk scoring and prevention.”
