In a significant move towards protecting consumers from financial scams, Jersey Telecom (JT) recently launched a pioneering product designed to shield customers from impersonation scams, particularly Authorised Pushed Payment (APP) fraud. The Scam Signal launch comes as the Payment Systems Regulator (PSR) is introducing a new UK regulation that mandates banks to compensate customers defrauded up to £85,000.
Scam Signal, developed in collaboration with Vodafone Carrier Services and global analytics leader FICO, is the first real-time application of telephony data used alongside customer and payment data to address APP fraud. This multifunctional tool allows businesses to protect their customers by swiftly identifying and blocking fraudulent bank transfers as they occur.
With the new regulation due to come into force 7th October 2024, JT’s solution offers banks a proactive approach to safeguarding their customers and minimising financial losses.
JT, known for its leading position in Mobile Intelligence, has integrated Scam Signal into its suite of mobile intelligence solutions. Having successfully piloted the solution with a leading UK high street bank, Scam Signal is now live with four major banks and has already improved fraud detection by 30%, asserting its efficacy in safeguarding financial institutions and their customers.
Scam Signal has been named as Silver Award winner for ‘Best Scam and Authorised Push Payment (APP) Fraud Prevention Solution 2024 by Datos Insights. This accolade highlights the exceptional innovation and effectiveness Scam Signal brings to the financial services industry, setting a new standard for fraud prevention globally.
Clare Messenger, Global Head of Mobile Intelligence at JT Group, stated, “Our technology represents a breakthrough in fraud prevention, directly addressing the needs of financial institutions by tackling fraud at its source. It’s an essential component of JT’s Mobile Intelligence solutions, using telephony signals to spot the subtle signs of fraud that enable banks and other organisations to take proactive measures to prevent financial loss.”
Given the surge in APP fraud globally, and with the UK witnessing losses exceeding £340.65m in 2023 alone, Scam Signal’s partnership with UK banks couldn’t come at a better time. This growing threat and increased pressure from new regulation mandating reimbursements highlights the need for banks to adopt more preventative solutions to minimise their exposure to risk.