UK Finance: Contact centre fraud on the rise

The members’ body said fraud attacks have become a common problem for banks across all customer channels, from telephone to internet banking.

However, it flagged the issue as particularly pertinent for contact centres. A recent study from information security firm Pindrop found 57% of contact centre decision-makers had experienced contact centre fraud to be rising.

UK Finance pointed to banks’ massive consolidation of fraud defences against app and website channels in recent years. Perpetrators have targeted contact centres as an alternative.

According to the body, fraudsters often use the contact centre to gain information that then enables them to commit fraud through mobile and web channels.

This usually begins with criminals mining personal customer information via the dark web, or through social media. They proceed to call the contact centre, posing as the customer, to check whether the information is correct via a low-risk request such as a balance check.

Perpetrators may also attempt to procure further information from contact centres by asking questions such as what email address is held on file.

Other more aggressive tactics include behavioural manipulation, such as playing the sound of a crying baby to stress the agent into accidentally releasing sensitive information.

To prepare for attacks, fraudsters will then proceed with activities such as changing PIN numbers, addresses, login details and requesting new cards or payees.

Once the fraud has taken place, money laundering techniques will be utilised to allow the criminal to capitalise on the illegally obtained funds.

Akhil N P, solution architect at ClaySys Technologies, said: “Call centre fraud is a constant and genuine menace that companies and individuals are continually trying to fight.

“While being cautious about sharing information over the phone to call centre representatives is crucial, it is also equally important for companies to train their representatives and consumers to be aware of this threat by using voice biometrics, authentication techniques, and regular employee training.

“The crucial issue with call centre fraud is prevention. The most significant problem with call centre fraud is that once it takes place, finding a resolution that helps both the consumer and company is rare.”