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00:00Thank you for everyone for being here for this evening with us, and thank you, Jen, for being with us.
00:06Thank you to Bloomberg for the opportunity, and my name is Sechkin Ilgo, and I'm leading security solutions for MasterCard North America,
00:13which includes cyber, AI, fraud, disputes, and digital assets, and I'm very honored to have Jen Martin with us from Citizens.
00:21Do you want to give a quick intro about yourself, and then kick it off our very rapid fireside chat?
00:27Yeah, so myself and my team lead the prevention, detection, and resolution of fraud for Citizens Bank.
00:34We're a Top 15 bank based here in the Northeast. You see us all over the city.
00:40Welcome again. Thank you for being with us.
00:42So let's kick it off with the main question of today.
00:46What are the most pressing threats that you see in the ecosystem, especially from your perspective?
00:51Well, it's a lot of what we just talked about today already.
00:54It is the volume and velocity of fraud.
00:58You know, I've been in the fraud industry about eight years, and what's really changed, especially in the past few years, is just this acceleration.
01:06There was a time where, you know, you'd have a fraud threat, you would put in controls, and then the next threat would come.
01:12And now, especially with the globalization, with the intensity of the technology, we're fighting, you know, dozens of attacks, nation-state-funded, global, organized, highly organized fraud in the ecosystem now, which is a lot different than it was a few years ago.
01:31And every year I say that, you know, expecting, you know, all the different technology, right, it just is going to continue to increase.
01:40No, 100%. I think we are hearing, this is the theme of today, actually.
01:43We are all hearing from all the participants, the same themes, about the fraud and concerns.
01:47So, we have, as MasterCard, we have a fantastic partnership with citizens, with you and your team specifically.
01:54Can you please elaborate for the audience how our partnership actually helped to develop solutions to the threats that you mentioned, or how we can accelerate the prevention of these?
02:04Yeah, so, you know, the broad prevention is really almost entirely dependent on access to data and insights.
02:10We heard that from our, you know, cybersecurity partners, and what we have with MasterCard, you have this broad network of data and intelligence.
02:19You're seeing transactions, billions of them all over, you know, the globe, and we have our transactions, and being able to marry those insights together.
02:29And then we have a very common, I feel like we have a common focus on our customers and enabling good transactions all day, every day,
02:37but then getting that right interdiction, when it is fraud or, you know, a riskier transaction.
02:44And the investments you've made, the partners we mutually share, like Intersect, your investment in decision intelligence and modeling and data,
02:52I think has been a good marriage of where we are, which is really leaning into that data and technology and insights to fight fraud.
03:01No, 100%. Thank you for this.
03:03I think it's very important, like, the partnerships, because at the end of the day, we are trying to secure the whole ecosystem,
03:08not only one partner or one network.
03:12Let's talk about scams they mentioned in the previous panel.
03:15So, last year alone, based on the FTC numbers, and U.S. customers lost 12.5 billion to scams.
03:22And these are only the reported numbers.
03:24The reality is actually harsher than this.
03:26Can you please maybe give some examples about how Citizens and MasterCard,
03:32we are collaborating to raise awareness to scams and also how we can develop some proactive solutions to prevent scams before they happen?
03:43Yes.
03:43And so we were just last week at the Global Anti-Scam Alliance Summit in D.C.,
03:50surrounded by professionals who are all together fighting this fight of scams.
03:56And scams are unique from a transactional standpoint because, in most cases, the consumer is part of the transaction.
04:06So it has different signals than traditional fraud.
04:08You can say, oh, that is a bad IP, and that looks malicious.
04:13When it's a scam from a transactional perspective, it's going to look like the customer is initiating that transaction because they are.
04:21And so the way that we need to look at the data is entirely different.
04:25And, again, it goes back to that breadth of information that MasterCard has and that we can marry with our own to really try to identify.
04:33That pattern for that customer looks different, and we should proactively reach out to them with some education and see if they are involved in a scam.
04:42And then I think, you know, education, we're both mutually focused.
04:45MasterCard's got a lot of education as do we, you know, really trying to keep the consumers aware of the different threats of scams out there.
04:54I mean, you know, we see that all the time.
04:56The toll booth, you know, texts that come through, like, there's different, you know, iterations that we're all impacted.
05:02And so it's really getting that word out to consumers, you know, do not, you know, do not click on the link.
05:09Do not fall for the scams.
05:10I think that's a very fair point.
05:12At the end, education starts with all the participants.
05:15It's not only the network, merchants, issuers, government.
05:18I think it's all because at the end of the day, if the consumers don't know what to do or they're not informed enough, everybody is suffering.
05:25And it impacts the digital economy because they have, they are losing, they are losing the trust of the digital economy and they don't want to make any transactions anymore.
05:33And at the end, we all lose.
05:34So there was an interesting comment in the last panel that they thought that the fraud and cybersecurity is kind of operating in different places and is kind of silos.
05:48And which is a dream for the fraudsters because as they are different silos, they can actually attack and they can abuse the opportunity.
05:56So, and the best way to break the silos, as you mentioned, is sharing the data, sharing intelligence.
06:03Can you give some example about how the share intelligence between different parties, a bank and a network, would be useful to fight to emerging trends or to be preventive about what's going to happen?
06:15Yes.
06:16So, again, that's how we learn how fraud is, you know, starting to pivot.
06:20You know, we always want to be looking at what's changing in the ecosystem.
06:24And that's just not the transactional data that we might see in fraud.
06:28That is any data in the ecosystem who's, you know, showing interest into your site, who's, you know, trying to log in, where are those logins coming from?
06:38So it's a marriage of the cyber data as well as transactional fraud data, as well as a third, you know, all of the external data that we can get as well to say that those are threats.
06:49And, again, MasterCard has a global network that, you know, many participants use.
06:55So you might have a signal first that says this is fraud.
06:57And then we can, you know, we can benefit from that downstream.
07:02100%.
07:03So we mentioned, like, we have a great partnership.
07:06And we mentioned, like, the last week of Global Antiscan Alliance, there's an organization between not only with Citizens MasterCard, but all the other networks and all the issuers as well.
07:17What do you think would be the future for the collaboration?
07:20Because I think it's not only one bank, it's not only one network can fix this fraud problem and cyber problem.
07:28What is the golden standard for collaboration, data sharing, in order to fight the good fight against fraud?
07:35Yes.
07:36And I think it was mentioned earlier, we have ISACs, too, right?
07:39So I think it's leveraging that.
07:40But I like what we talked a lot about last week was whole of government and then public, you know, private partnerships, right?
07:47It really is the whole of everyone.
07:49It's a global problem.
07:51I say fraudsters aren't brand specific.
07:54They're not looking for any one brand or, you know, they're just looking for the weakest link to, you know, perpetuate their crimes.
08:00And so how do we, as a whole ecosystem, you know, rally together and share our data to really, you know, fight the fight amongst all of us?
08:10Because any weakness is weakness for all.
08:12And I just, you know, I think about the insights in the last section.
08:15And, like, it's not even, now we're in a place where it's just not even our consumer.
08:19We're also working with our consumer's agents, right?
08:22So that concept of authentication and identity is going to be even blurred more as, you know, consumers want to pick up authentic commerce,
08:31which I think is going to become very popular faster than any of us want it to.
08:35And I, like, I almost died when he said almost 30 agents.
08:39People could have 30 agents, right?
08:41So that's, you know, 30 different entities I could be, you know, giving authorization to transact on my behalf.
08:48Like, that, from, you know, from a fraud perspective, that's, like, the real acceleration of data and how we're going to need to collaborate to keep track of that.
08:56A hundred percent.
08:57Like, when you think about the agents, how to do, like, a know your agent, that is the dispute component, cyber component, AI component.
09:04No, a hundred percent.
09:05So if I want to summarize what we have, the key takeaways, data sharing, intelligence sharing, collaboration, and education, customer education.
09:15Do you want to add anything else?
09:16Yeah, I think it's all of those things, you know, coming together.
09:19And then, you know, from anyone who's in the ecosystem, you know, just everyone needs to lean in, right?
09:26Like, we can't have any white space between us.
09:29It is everyone's fight.
09:30And so if you're anywhere, whether it's telco, social media, you know, whatever you have to bring to support the cause, you know, I think it's a whole of the industry.
09:42A hundred percent.
09:43Thank you very much for being here.
09:45Thank you, everyone.
09:46We'll just queue a video for you.
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