Fighting deepfakes and fraudulent identities – Jumio’s holistic approach to building identity trust” with “Jumio Delivers Adaptive Verification as AI Fraud Projected to Hit US$40 Billion.
Hong Kong police recently arrested 27 individuals linked to a deepfake scam that swindled victims out of $46 million. The scammers used AI technology to create fictitious female identities for online dating, altering their appearances and voices. With the proliferation of generative AI expected to result in US$40 billion in fraud losses by 2027 — and that’s just in the United States — financial institutions need to step up their fraud-prevention tactics.
Recent research from Jumio, the leading provider of automated, AI-driven identity verification, risk signals and compliance solutions, found that 78% of consumers in Singapore are concerned about whether their bank is doing enough to protect customers against deepfake-powered fraud, with the same number of consumers ready to switch banks over inadequate fraud protection.
How can banks successfully balance the calls for innovation in an increasingly competitive fintech space against neobank upstarts, super-apps, and resurgent e-wallets across Southeast Asia while addressing security concerns arising from AI-based fraud?
Frederic Ho, Jumio VP of APAC said his eKYC firm addresses the vulnerabilities of database and biometric identity verification systems to deepfake and identity theft, by implementing advanced liveness detection to counter sophisticated fraud tactics like face morphing, face swapping, and camera injection in eKYC processes. Jumio is bringing its holistic approach to building identity trust to Singapore Fintech Festival 2024, taking place Nov. 6-8.
Jumio’s comprehensive data hub provides access to a wide array of industry-leading, third-party data sources to provide additional assurance of customers’ identities and assess their risk to automatically drive decisions in client workflows. Key risk services that Jumio checks for include: global identity, Social Security number (SSN), phone number, government database, email, geo IP, address, device, and bank identification number (BIN).
Ho explained that identity verification can be used not only for verifying new customers but also for existing ones through the concept of re-KYC, the process of updating and verifying customer information to ensure compliance with KYC regulations.
“Typically, periodic reviews and re-KYC are done annually for high-risk customers, every two years for medium-risk customers and every three to five years for lower-risk customers. regulatory agencies are typically less concerned with low-risk customers, but some banks will trigger reverification based on high-risk behavior. This process is crucial for complying with current regulations and effectively combating illegal financial activities, such as money laundering or terrorist financing,”
Ho said.
The Jumio Platform provides AI-driven eKYC, risk assessment and AML compliance services in a unified workflow to verify the identities of new and existing users, fight fraud and help meet compliance mandates throughout the customer journey.
Every business is unique in terms of risk tolerance, compliance requirements, and consumer expectations. The process started with clients defining the workflows and rules of engagement.
“From the onboarding of new customers, Jumio enables our clients to assess customer risk right from the start by checking various risk signals including device risk, geolocation, email and phone number checks, and address verification. The level of verification checks can be adjusted as the customer progresses. This allows clients to build a holistic and adaptive eKYC workflow to fight fraud while ensuring a seamless experience for their customers,”
Ho said.
Drop in for a chat at Jumio’s SFF booth in Hall 3 of Singapore EXPO to find out more about their latest fraud detection capabilities.
