This alert may not be shared outside your organization, Do Not Repost or send, place on other websites, List servers, or send to others via email, including other associations or parties. Members and Law enforcement use only. Contact us for any permissions. To do otherwise will result in the loss of membership.
Complete Story
06/07/2023
ChatGPT: Navigating the rising financial crime landscape in the digital age
Beta News
In-depth discussions with financial crime compliance decision makers from 10 leading U.S. financial institutions reveal that real-time digital payments, digital fraud, and cybercrime are the primary concerns for compliance teams in 2023.That said, there is a new player that has entered the scene and demands our attention: ChatGPT. It has the dual ability to help or hurt compliance and security teams.
Because while this cutting-edge technology presents an opportunity for financial institutions to detect and mitigate fraud and financial crime, it also provides criminals with an avenue to commit these acts more easily.
The Expanding Influence of ChatGPT
Since its introduction in November 2022, ChatGPT has experienced exponential growth, boasting over 1 billion users by March 2023. Unsurprisingly, criminals have swiftly embraced it for their illicit activities, leveraging its capabilities to create convincing fake profiles, documents, and transactions that can easily bypass even the most well-trained compliance personnel. Additionally, ChatGPT serves as a breeding ground for the development of bots and malware to execute cybercrime schemes and perpetrate scams aimed at obtaining sensitive financial information. The use of AI-generated messages further compounds the threat, as it enhances the realism of impersonations, making scams more difficult to detect. Instances of ChatGPT being employed to create legitimate-looking social media personas for data theft and even monitoring cryptocurrency prices and payments have already come to light. The potential for fraud and scams to be "turbocharged" by ChatGPT, which FTC chair Lina Kahn has highlighted, poses a significant challenge for compliance teams striving to differentiate between criminal and legitimate transactions.
Alerts
The FRPA alert system distinguishes us from other groups by gathering and providing information to law enforcement, retailers AND financial institutions.
more information
Resources
Your electronic library to help in fighting financial fraud for all of our partners.
more information