When asked why he robbed banks, notorious 1930s-era bank robber Willie Sutton famously replied, “Because that’s where the money is.” While his response was purposely tongue-in-cheek, stopping criminals is a reality that community banks face daily. For as long as banks have existed, fraudsters have been targeting them. Today, a complicated mix of attacks that range from old-school check washing to AI-based deepfake scams and everything in between plagues our defenses. It’s not just whack-amole defense; it’s manning multiple fronts. Community banks must address analog fraud while defending against new digital threats — a tall order no matter how you look at it. Fortunately, community banks are in a state of constant vigilance, so fraud mitigation has become second nature. From historical safeguards like Positive Pay to new solutions like advanced anomaly detection, community banks execute fraud mitigation strategies using all the tools in their toolboxes. From Reactive to Proactive These resources now include solutions that help community banks move from a reactive to a proactive stance in addressing fraud. For instance, ICBA ThinkTECH Accelerator alum Socratix AI enables community banks to build secure, enterprise-grade AI agents that help fraud and risk teams investigate alerts in real-time and deliver structured insights. Meanwhile, Sardine, another ThinkTECH Accelerator participant, monitors thousands of signals to predict the likelihood of a scam in progress, resulting in more robust fraud detection protocols. FRAUD MITIGATION Leveling up By WAYNE MILLER Executive Vice President and Chief Innovation Officer, ICBA INNOVATION STATION 8 In Touch
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