Our Scans · (FS.7.01) Fraud · Weekly Summary

• [New] In the coming years, AI-driven cyber-attacks, including hyper-personalised spear phishing, deepfake-enabled fraud, and automated social engineering, are expected to witness a significant uptick. ET Edge Insights
• [New] With fraud and reputational risk rising sharply, banks and credit unions must act now to align with recognized Canadian digital trust standards or risk falling behind global and domestic expectations. BiometricUpdate.com
• [New] Canada's financial services landscape is under growing pressure to change how it approaches digital identity - not because it already has, but because escalating fraud risks and heightened customer expectations now demand it. BiometricUpdate.com
• [New] BFSI (Banking, Financial Services, and Insurance) accounts for 15% (USD 2.5 billion), leveraging edge AI for fraud detection and real-time risk analytics. Cision PR Newswire
• [New] Hybrid quantum-classical computing platforms are now used for risk modeling, portfolio optimization, and fraud detection at major institutions like JPMorgan and Deutsche Bank. TrendVeritas
• [New] With so much money at stake, and with promises to achieve domain dominance in the next two years, the potential for fraud, waste, and abuse is real. Irregular Warfare Initiative
• [New] The IRS is now developing a new modernization framework due by early 2026 that focuses on unifying fragmented data systems, leveraging tech for taxpayer service and fraud detection, and reducing tech contractors. Rand Corporation
• [New] Privacy leakage, discrimination, false or misleading information, malicious use in scams and fraud, loss of human agency, lack of transparency and more are just some of the 1,600 risks in the Massachusetts Institute of Technology's AI Risk Database. The Guardian
• [New] Globally, generative AI-enabled financial fraud, including deepfake impersonations and synthetic identity fraud, is projected to exceed US $ 40 billion by 2027. Curia Regis
• [New] Feedzai's AI-powered end-to-end financial crime prevention platform for fraud, risk, and anti-money laundering teams protects more than 70 billion in annualised payment volume across card transactions and bill payments. FinExtra
• [New] Europe's new fraud-prevention rules for online shopping will re-write the playbook on e-commerce security. Morgan Stanley Australia
• [New] In 2025, fraud schemes have become more sophisticated-leveraging new technologies and exploiting emerging vulnerabilities-making prevention more critical than ever. Brady Martz & Associates
• [New] Fraud prevention remains a critical priority for businesses of all sizes in 2025, as cybercriminals continue to evolve their tactics and exploit new vulnerabilities. Cyber Security News
• [New] Expanding biometric use will help combat trafficking, verify criminal history, deter fraud, and enhance identity management throughout the immigration lifecycle. Erickson Immigration Group
• [New] The best approach to address the vulnerabilities in the immigration process, preclude imposters, and deter fraud would be to rely more on biometrics for identity management in the immigration lifecycle. Federal Register
• [New] Firms like Capital One now use sophisticated AI to recognize customer behavioural patterns, while others are deploying it to combat emerging threats like synthetic fraud and to automate costly client onboarding and compliance processes. FinExtra
• [New] The elderly are most at risk, with at least two-thirds of people over the age of 75 receiving attempted telephone fraud. Euronews
• [New] Starting in 2026, Blend will expand Intelligent Origination into additional use cases across fraud detection, income and asset verification, loan officer tools, and borrower communication spanning mortgage, home equity, consumer lending, and deposit products. Stock Titan
• [New] Multiple regulatory deadlines are converging for the US in 2026, including Treasury Central Clearing mandates, ACH fraud monitoring rules, the GENIUS Act, and AML/CFT programme redesigns, financial institutions are under pressure to prioritise and sequence their compliance efforts. FinExtra
• DWP found the machine learning model to be around three times more effective at identifying fraud risk than a randomised control group sample. UKAuthority
• Real-time account verification tools like LSEG's Global Account Verification reduce fraud risk, support compliance, and secure cross-border payments. Fintech Singapore

Last updated: 11 November 2025