This episode is sponsored by Q2. Thank you, Q2!
Credit unions must move beyond static fraud controls and adopt more dynamic, behavior-based monitoring strategies as account takeover fraud continues to evolve, according to Jeff Scott, vice president of fraud intelligence at Q2.
During this episode of the "Shared Accounts With CU Times" podcast, Scott said context is everything when determining whether member activity is legitimate or potentially fraudulent. Rather than relying solely on rigid authentication measures, credit unions should analyze a wide range of digital "signals," including device activity, login behavior, location data and account-setting changes after authentication.
Scott noted that the challenge for credit unions is preventing fraud without frustrating members or making them feel distrusted. That balance, he said, requires layered security approaches that adapt in real time to member behavior patterns.
The discussion also explored the growing role of artificial intelligence in fraud prevention. Scott said fraudsters are increasingly using AI-powered tools and sophisticated phishing tactics, but credit unions still maintain a key advantage because of the rich member data already available to them.
We also examined the importance of speed in responding to suspicious activity, along with the need for ongoing staff and member education surrounding phishing scams and fraudulent communications.
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