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Banks would rather handle fraud than prevent it

Tuesday 8 September 2015 00:45 CET | News

About half of banks and payment systems prefer to handle cyber incidents, rather than invest in equipment which can prevent them, a recent study shows.

According to a survey conducted by Kaspersky Lab and B2B International, 48% of financial organisations said they protect their clients from online fraud, aiming at mitigating the consequences rather than preventing incidents entirely.

Findings reveal that 29% of companies believe it is a more effective way to address cases of fraud, rather than attempt to prevent them. According to the responses, whenever a cyber-fraud incident involving a client’s account occurs, only 41% of organisations take measures to prevent it from re-occurring in the future.

According to Engineer IT, the survey showed that 36% of companies conduct an analysis of the vulnerability exploited in the attack, and 38% compensate the losses. The most popular policy among companies is to try to find out who was behind the attack: two-thirds (66%) of financial organisations are guilty of this practice.


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Keywords: fraud prevention, web fraud, digital identity, online security, risk management, cybercrime, banks, financial institutions
Categories: Fraud & Financial Crime
Companies:
Countries: World
This article is part of category

Fraud & Financial Crime