TECHNOLOGY
transactions . The fraudulent purchases made contactlessly are challenging to detect , which makes it easier for fraudsters to get away with their criminal activities .
“ To combat this , it is crucial for financial institutions to invest in robust security measures to prevent such frauds . One of the possible ways to tackle this rising type of payment fraud is transaction monitoring . Financial institutions must employ cuttingedge technology to monitor transactions to detect suspicious activities proactively . AI-powered transaction monitoring solutions are able to identify and prevent fraudulent transactions by immediately freezing accounts and reporting such activities to relevant authorities . Furthermore , it is essential to educate users about the dangers of storing sensitive data on mobile devices and educate them on best practices for safe mobile payment transactions .”
What will the future of payments regulation look like ? As new technologies come online , it is likely we will need greater regulatory safeguards to protect consumers against abuse or fraud . In 20 years ’ time , it is entirely plausible that we will be paying for parking from inside our car , or ordering groceries through smart refrigerators . Who knows , maybe our smart doorbells will even use machine learning to let delivery drivers into our homes to put the delivery into our cupboards ? As always , these technical opportunities present regulatory challenges .
VIXIO ’ s Andrew Neeson says that , although the channel may change , the underlying technology behind it will still be similar to the card payments we make today – though that is not always a good thing .
78 June 2023