One Steps Towards Mitigating Bank Fraud Using Data Mining Techniques

Abstract

Background: — In today’s world when practically everyone interacts with banks either in person or virtually, the banking industry is crucial. When addressing there is a possibility that scammers will ensnare the banks, their clients, and themselves.

Bank account verification is the process of confirming the authenticity and ownership of a bank account. It is typically involves providing certain information and document to the bank, such as identification, proof of address, and sometimes a signature. This verification process helps ensure the security of your account and prevent fraudulent activities.

Objective: As time goes on, we hope to discover a better solution because; our challenge is approached as a classification problem, traditional data mining algorithms are not directly applicable.

Methods: In this process bank haring other a team to verifying the bank user document and identification, finding from the negative culture within the bank, amid allegations and fraud deception, and money laundering, money their among various crimes. . The bank does not know what is going on in the user’s mind. And who is going to commit fraud? This is process helps to verifying user account and this process help user transaction. The work of this team will also be to check transaction of user, nothing else

Result:

Bank should create and follow AML policies as per regulatory guidance & update the policies time to time to over all loopholes.  Bank should hire Professionals in the field of AML and KYC to overcome / combat from fraud or any terrorist funding. Verify customer time to time as per customer risk both individuals and entities. There are many multinational bank who has hired AML / KYC specialties to keep close eyes on customer and their activities not only to save bank image as well to save from sanction / fine from regulators, prevent criminal activities.