Financial institutions have been battling cybercriminals for decades. A constantly evolving network of bad actors continues to identify and exploit vulnerabilities to perpetrate fraud. Traditional prevention approaches are a necessary first line of defense but are far from bullet-proof. And so criminal organizations continue to make millions.
The weakest link in this network continues to be the customer. Despite a relentless education campaign, banking customers remain either unwilling or unable to practice safe computing. And when losses occur, customers believe that regardless of their inability – or unwillingness – to implement secure online banking practices, the bank will reimburse their account for the entire loss. It often makes more sense for the bank to reimburse a small loss than dedicate the time and effort needed to deny the claim and potentially incur negative publicity. Meanwhile, assuaged by this false sense of security, consumers have little incentive to change their behavior.