Lenders face higher costs of fraud than other industries.
According to LexisNexis Risk Solutions, for every dollar of fraud, lending companies incur $2.82 in costs, which includes fees, interest, etc. Large digital lenders, with over $50 million in annual revenue, are hit hardest by fraud in this space
When lending went digital, it gave fraudsters new venues to take advantage of the system. With more transactions moving online daily, the threat of reputational damage or financial loss is higher than before.
Robotic Process Automation (RPA) in this aspect is a promising science that can help protect against malicious cyber intruders. Manually handling the security threats daily is impossible and it may end up in irregularities. Automation will remove these challenges, as the software is designed to handle the massive amounts of manual work, can respond quickly to alerts and can function without direct user involvement. Online lending frauds may be on the rise, but so are RPA-led technologies that combat them. Firms can leverage RPA’s Machine Learning capabilities to create business rules that are unique to your business.
How RPA can strengthen cyber security?
Often the day-to-day processes are repetitive in nature and can take too long to complete manually. Paired together with an increase in the number of alerts and small security teams, organizations cannot perform efficiently and become at risk of successful attacks. Automation will remove these challenges, as the software is designed to handle the massive amounts of manual work, can respond quickly to alerts and can function without direct user involvement. Combining machine learning (ML) and artificial intelligence (AI), RPA can enable automation – taking human effort out of the equation.
RPA adoption is expected to increase to 72% by 2020 and, if adoption continues at its current level, RPA will achieve near-universal adoption within by 2023.
Fight Fraud with RPA
In order to better grasp the directions of robot assistance let us now zoom in on some examples of RPA security-related application areas.
- Data Validation: RPA can boost the efficiency of checking the suitability of access data.
- Inventory Tracking: Software robots can continuously monitor the inventory and update it whenever they discover risky areas
- Data Classification: Robots can be deployed to detect sensitive data, and either validate it or remove it if stored in unauthorized locations
- Reduce Cyber Threats – RPA can effectively deploy to detect threats. By running a fast-paced analysis of the encountered malware alerts, bots can select the most relevant information bits and, based on this, make response decisions as to when and how to address the threats
- Compliance made easy: RPA minimises human access to sensitive data, which can reduce risk and compliance issues
- 24/7 Security: RPA doesn’t tire or mentally “clock out” on the job, providing 24/7/365 security coverage.
Whether intentional or by human error, people pose the biggest risk to the cyber wellbeing of organizations and businesses. By removing the human aspect, it makes your data more secure.
Modern cyberattacks have become heavily automated. If organizations try to defend against these attacks manually, the fight becomes man versus machine, with highly unfavourable odds for the organization. To successfully protect against automated attacks, it is essential to fight machine with machine – by incorporating automation into cybersecurity efforts.
Are you ready to embark on your own RPA journey? Please feel to Contact Us if you would like to understand more on how businesses can fight fraud with RPA .
