Holiday Anti-Fraud Tips for Credit Unions

on 10:41 AM

As reported recently by Credit Union Times, Chicago-based OneSpan, provider of anti-fraud and digital identity solutions to financial institutions, offered some holiday protection tips and six predictions they suggest will shape the 2020 financial services industry.

“Fraudsters don’t take time off for the holidays and in fact, may capitalize on seasonal spikes in transaction volume to more easily evade detection. As consumers increasingly use their mobile phones as their primary device for holiday shopping, banking and other transactions, cybercriminals are also turning their attention to the mobile channel,” Will LaSala, director of security solutions at OneSpan, said.

LaSala pointed out, “Mobile malware nearly doubled in 2018 and mobile account takeovers increased 79%. It’s estimated fraud losses to banks and credit unions have topped $31 billion due to customer account takeover, new account application fraud and other types of fraud occurring in digital channels.” He recommended employing mobile app security as the key to fighting fraud not only this holiday season, but all year long.

The cybersecurity director provided some measures credit unions can implement immediately to safeguard member data, meet compliance with industry regulations and avoid becoming another data breach headline:
  • As transaction volumes increase fraudsters will use this spike to try and scam transactions and call centers. Let members know your brand will never ask them for their credentials via email, text or chat.
  • Remind staff that security standards do not need to slip. Even though transaction volumes will be higher, pay attention to those out of the ordinary requests and do not cut any corners. Stick to the processes and procedures defined throughout the entire year.
  • Mobile banking apps should protect themselves in untrusted device environments. defend any type of mobile app against sophisticated malware, they should use application shielding technology as protection.

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