Banking •
Emerging technology for fraud detection and authentication is boon to banks by David Kubicek
Machine learning (ML) and other emerging technology are making it harder for hackers to breach financial databases. ML is a method of data analysis in which a computer or other automated system is able to leverage robust sets of information to identify patterns in the data itself. “By using different algorithms, or sets of decision-making rules, machine learning is able to take the patterns Deterding discerned from the data to reliably predict future outcomes without being explicitly guided by human programming,” said Jamie Deterding, senior vice president of bank solutions at Fiserv. “After combining your per-
Broad customer base Continued from preceding page. traditional customer service is the best way to reach every age group. “We are constantly working on enhancements to deliver the best possible experience to all our member owners,” he said. Reaching the next generation of patrons, Swanstrom said Centris has developed a specific suite of programs that aim to educate on the basics of personal finance. More information on these tools can be found on the Centris website.
sonal behavior with millions of other consumers, machine learning is able to identify patterns in how you interact that can be applied to make intelligent decisions that will prevent fraud.” Paul McMeekin, director of marketing for growth markets at ACI Worldwide, gave an example of how machines can learn from patterns. “Say there’s a run on grocery stores where people are spending more than they typically spend,” he said. “And say I spend $700 McMeekin at Costco — that’s my normal behavior — but with what’s been happening [with the coronavirus] over the past few weeks, there’s a surge in spending. When the system sees that I spent $700 at Costco, $700 at Walmart and $700 at Target in the same day, the machine has learned that based on the spending patterns of other people as well as myself, this isn’t fraudulent activity, but something else is going on.” Ron Winward, security evangelist at Radware, said an algorithm is written with a specific outcome in mind — to look for what the author thinks is interesting. For example, if you’re trying to quickly classify data based on similarities, an algorithm would be written and optimized specifically for this work. One of the most common cybersecurity Continued on page 9.
Midlands Business Journal • APRIL 3, 2020 •
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