The Top 4 Ways to Detect and Prevent
Insider Bank Fraud

Every $1 in fraud now costs financial institutions $4. It’s estimated that up to 40% of all fraud losses can be attributed to insiders, with the average cost per incident reaching over $400,000.

Here are four ways you help detect and prevent insider bank fraud from destroying your institution

#4 – Recognize the Risk: 94% of organizations experienced an insider breach over the course of the last year alone. Acknowledging that risk is an enormous first step in preventing fraud.

#3 – Scrutinize Insiders: Employees that commit fraud often have two factors influencing them; they need money and have access to accounts or inside data. Fraud teams should measure the risk that every employee carries.

#2 – Monitor, monitor, monitor – Fraud teams are often overwhelmed with the amount of data and risk they must analyze from outside threats. However, the same data and transactional monitoring must be done on insiders as well.

#1 – Incorporate Ai – Human fraud teams can only do so much. Insiders often have clever ways to operate undetected. However, new Ai tools take away insider advantage and give it back to the fraud team.