Mastercard is addressing the increasing threat of scams, responding to staggering statistics such as $12.5 billion lost to internet scams in the US in 2023 and nearly 1.4 million fraud cases in the UK during the first half of the same year. To combat this, Mastercard has launched Scam Protect, a comprehensive suite of tools powered by AI, biometrics, and open banking, aimed at identifying and preventing various types of scams, including card-based, account-to-account, and fraudulent account openings.
To bolster their efforts, Mastercard has forged partnerships across industries. One significant collaboration is with Verizon, where they combine identity insights with telecommunications network technologies to better block spam and scammers. Kyle Malady, CEO of Verizon Business, emphasizes their joint commitment to consumer protection, aiming to thwart scammers before they can make contact.
Furthermore, Mastercard’s AI-powered Consumer Fraud Risk technology is being utilized by banks like NatWest in the UK to detect and prevent money transfers to scammers in real-time. This technology marks a proactive approach in safeguarding consumers’ finances.
Mastercard has also taken a collaborative stance on a global scale by joining the Global Anti-Scam Alliance. Through this alliance, they aim to share knowledge and define joint actions to advocate for safe and secure transaction methods while also educating consumers on identifying scams. Chris Reid, EVP of identity solutions at Mastercard, stresses their dedication to supporting financial institutions with valuable insights to detect and prevent scams, thereby reinforcing consumer protection measures.
