Our FRAML blog appropriately titled “The FRAML Channel” is a resource provided by Verafin to provide readers with an informed look at how these crimes can affect financial institutions and their customers. Read our fraud and anti money laundering blog posts below from FRAML experts.
We've looked in some previous blog posts at how fraudsters get their debit card data and how they profit from that data. The recent debit card skimming incident at the art-and-craft chain Michaels highlights some of these issues. It also raises questions that need to be answered.
In my previous post, I discussed ten ways that criminals can get debit card data for committing card fraud. The size of the list is scary and a bit daunting. I will talk about ways to combat card fraud... in my next post! But before I get there, I want to share three ways that the criminals profit.
Unfortunately, there are enough ways to make money from debit card data that criminals are motivated to continue their attacks on the system. Here's a high level overview of the types of things that they do:
1. Sell the card information
The criminal underworld has a thriving black market for stolen credentials. Debit and credit card data can be sold to brokers who in turn… Read more »
The idea of consolidating fraud and AML (FRAML) is gaining pace throughout the financial world. Why? The gains outweigh the perceived pains. In a world where departments are increasingly being asked to do more with less, the FRAML approach just makes sense.
At this point, let me step forward and define what is meant by FRAML. It is not a ‘one-size only’ or 'one-way only' process. It is about adjusting already existing processes to break down fraud detection and compliance silos. These adjustments must be made in a manner that engages the key players and makes sense for the financial institution. When done properly, the end result is improved efficiency, communication, and effectiveness.
James Freis, director of FinCEN, Read more »
As a part of Verafin's marketing team, I’m often asked to explain how a behavior-based fraud and AML (FRAML) solution differs from software that focuses either on anti-money laundering rules or fraud detection rules. There's a lot of confusion out there not only about the differences, but what these rules are. After all, not all vendors out there call themselves rules-based. Here's a simple test: if the software involves 'if/then' statements or you have to define the dollar value and time frame of the activity you want to catch, then you're looking at a rules-based system.
So to help create some clarity I chatted up some members of our analytics team to get a better understanding of what the big differences are. They know their stuff, but as computer engineers they tend to be a… Read more »
This week we are rebroadcasting our debit card fraud webinar that originally aired in September, 2010. If you haven't registered yet, you can get a spot here.
To complement the webinar, I thought I'd share 10 different ways that criminals attack their victims and get their debit card data. The better everyone understands the weaknesses, the more we can do to prevent card data theft. The sophistication required varies from little to lots, so criminals of all stripes are able to get in the act. If only the smartest could get involved, there'd be a lot less crime we'd have to fight.
For each attack, the potential size of impact varies as well. In some cases, there is only one victim. In others, there can be… Read more »