Artificial Intelligence for Good: Stopping Financial Fraud and Scams

• Artificial intelligence is emerging as a tool against financial fraud.
• A panel will discuss AI’s role at Brookings on May 7.
• Experts from major firms will share insights on fraud prevention.

Exploring AI’s Role in Combatting Financial Crime

A New Age of Financial Fraud In a world where banking has become digitized, the tactics of thieves have shifted dramatically as seen with the notorious words of Willie Sutton, who once said he robbed banks “because that was where the money was.” Fast forward to today, this age of trusting online systems has birthed an entirely new breed of fraud—the phishing emails, fake identities, and complex scams aimed at unsuspecting victims and financial institutions alike. The landscape of thievery has transformed; now, instead of masks and guns, many criminals rely on technology and subterfuge to pocket ill-gotten gains without ever laying a hand on the cash itself. With the prevalence of online transactions, financial institutions are scrambling to stay ahead of these digital con artists, and they’ve turned to an unlikely ally: artificial intelligence (AI).

Panel Discussion to Address AI and Financial Security

On May 7, the Brookings Institution’s Center on Regulation and Markets will host a notable panel discussion featuring heavyweights from the financial sector. Experts from Block, JP Morgan Chase, and FinRegLab will gather to explore how AI can be harnessed as a tactical weapon against the ever-evolving landscape of fraud and scams. This insightful event, part of the Center on Regulation and Markets Series on Financial Markets and Regulation, aims to dive deep into the potential and limitations of artificial intelligence in safeguarding finances. Viewers can join the conversation ahead of time, with questions to be submitted via email or through social media—those eager to chime in can even tweet using the hashtag AIforGood!

A Call to Leverage Technology in Ban Fraud

The agenda for this essential gathering includes a welcome address from Aaron Klein, who also serves as the Miriam K. Carliner Chair at the Brookings Institution. Participants will then engage in dialogue with Kelly Thompson Cochran, the Deputy Director and Chief Program Officer at FinRegLab, and explore AI’s capacity to detect patterns associated with scams and identify signs of fraudulent activity before it spirals out of control. Notably, this is more than a discussion; it’s a call to action for the financial sector to leverage AI in combating fraud. As the stakes grow higher, the innovations in technology may well dictate who stays afloat in these turbulent waters of modern banking.

As digital banking continues to evolve, the threat of fraud and scams becomes ever more complex. The upcoming discussion at Brookings promises to shed light on how artificial intelligence can play a pivotal role in stopping these crimes at their roots. As firms grapple with the changing landscape, the insights gained from the panel could provide a necessary guiding light for the future of financial services in the face of cybercrime.