Fraud Prevention Center

Project Type: 24h Hackathon, BrainStation, Academic Project
Timeline: 24h - June 27/28 2024
Roles: UX Researcher, UX/UI Designer, Content Designer, Pitch Deck Designer
Tools: Figma, iOS, Canva

In a 24-hour hackathon hosted by BrainStation and American Express, I collaborated with a multidisciplinary team to address the escalating issue of AI-driven fraud in the financial sector. This intensive experience involved diving deep into the world of fraud prevention, analyzing existing tools like SafeKey and Enhanced Authorization, and brainstorming innovative solutions to empower American Express customers.

Our team's "Fraud Prevention Center" concept aimed to revolutionize how users interact with and understand security measures. Through gamified educational modules, personalized alerts, and real-time threat intelligence integration, we envisioned a platform that not only educates but also actively engages users in their financial security. The prototype we developed demonstrated the potential of this user-centric approach, showcasing the power of combining AI-driven detection with proactive user education to combat the evolving landscape of fraud.

Take a Look

The challenge

The Problem Statement

Imagine a world where artificial intelligence, once a tool for progress, is now being wielded by cunning fraudsters to orchestrate elaborate scams. That's the reality facing financial institutions today, and American Express tasked us with a crucial challenge: How might we...leverage digital tools to prevent fraud that occurs by bad actors leveraging AI to commit fraud, while maintaining a seamless user experience for our banking customers?

Our team embarked on a 24-hour sprint to tackle this complex problem. We knew we needed a solution that would not only keep pace with the ever-evolving tactics of AI-powered fraud but also empower customers to become active participants in their own financial security.

$246 million

Total value of credit card fraud in the US in 2023

Most Affected

Individuals aged 60-69 reported

the largest total loss

Problem Space

The rapid advancement of AI technology has created a new and evolving landscape of fraud threats, with bad actors leveraging AI to create sophisticated scams and bypass traditional security measures.

American Express, while equipped with robust fraud prevention tools, faces the challenge of staying ahead of these increasingly sophisticated threats.

Secondary Research

Secondary research paints a stark picture of the escalating threat of AI-powered fraud. This new breed of fraud, characterized by convincing deepfakes, synthetic identities, and elaborate social engineering schemes, has exposed vulnerabilities in traditional security measures, resulting in mounting financial losses and eroding consumer trust.

To counter this growing menace, the industry must shift from a reactive stance to a proactive defense. This necessitates harnessing the power of AI and machine learning to detect anomalies and predict threats in real-time, as well as empowering customers with the knowledge and tools to become active partners in fraud prevention. By fostering collaboration across sectors, financial institutions can stay ahead of the curve, sharing intelligence and developing cutting-edge solutions to safeguard the future of digital banking.

Revised HMW Question

How might we design innovative and engaging data collection strategies that gather insights into user behavior and knowledge and actively involve them in the fight against AI fraud?

Define

User Persona

Extensive secondary research into industry reports, surveys, and studies on fraud trends and user behavior within digital banking platforms revealed a common desire among a significant user segment: robust security measures that are easy to understand and implement. To address this need, we created a representative user persona to guide our design process and ensure our solutions effectively cater to this group's preferences and challenges.

Complete user persona

Meet Alice

60 | Widowed | Civil Engineer | Denver, CO

Values financial stability and seeks secure tools to protect against fraud and ensure retirement savings.
Isn’t sure what potential threats are
Comfortable with basic technology, but requires some assistance with advanced security features and navigating digital platforms.
Uses digital platforms for banking and appreciates clear instructions and support for new security measures.

I value secure and reliable systems. I'm eager to learn new methods for safeguarding my financial assets and contributing to a secure online environment

Enhancing Security: A Collaborative Approach

We envisioned American Express leading the charge in transforming cybersecurity into a partnership between the company and its customers. This collaborative approach, fueled by our research, focuses on three key pillars:

Cybersecurity Awareness and Training

Empowering customers with knowledge is the first line of defense against fraud. We propose personalized, interactive educational modules within the American Express app that teach users about common fraud tactics, how to spot red flags, and best practices for staying safe.

AI-Powered Threat Analysis

Leveraging cutting-edge AI and machine learning algorithms to continuously analyze vast amounts of data, American Express can proactively identify emerging threats and adapt security measures accordingly. This ensures customers are protected from the latest AI-driven scams before they become victims.

Smart Alerts:

By implementing real-time, contextual alerts based on individual user behavior and transaction patterns, American Express can empower customers to take immediate action when suspicious activity is detected. These alerts can provide actionable insights and guidance, transforming customers into active participants in fraud prevention.

By embracing this collaborative approach, American Express can bridge the gap between its advanced security systems and customer awareness, fostering a more secure financial ecosystem for everyone.

Fraud Prevention Center: A Shared Responsibility

We believe that modern cybersecurity is a shared responsibility between companies and their customers. To empower American Express cardholders to become active participants in protecting their financial well-being, we envision a new Fraud Prevention Center within the mobile app. This centralized hub would foster collaboration and provide users with the tools and knowledge to enhance their account security.

How can Machine Learning tie into the Fraud Prevention Dashboard?

Personalized recommendation of education modules based on user demographic and client level.

Collect more data to predict fraud vulnerability.

Task Flow

This task flow illustrates how a user like Alice, our representative persona, would navigate the Fraud Prevention Center within the American Express app to engage with educational modules, and ultimately enhance their account security.

Ideate

American Express Experience

To ensure a seamless user experience, we meticulously researched and adhered to American Express's established design guidelines. The prototype's visual elements, layout, and interactive components were crafted to mirror the look and feel of the existing app, creating a familiar and intuitive environment for users. This approach not only enhances usability but also reinforces the credibility and trustworthiness of the Fraud Prevention Center as an integral part of the American Express ecosystem.

Prototype

View Prototype

Closing Remarks

Key Learnings

Fraud Is a Growing Concern: Fraud is not a problem to be solved but a constant challenge to overcome
Artificial Intelligence: Fraud will become more accessible and possibly more effective through the use of AI tools.
Securing The Person: Often, the most vulnerable aspect of an information system is the people who use it.
Shared Responsibility: Cybersecurity is everyone’s responsibility, ensuring a secure future requires a collaborative effort.
Making It Matter: Education & awareness should incentivize cardholders to make security matter for their accounts.
Data Enrichment: Data acquired from user profiles can enhance the analytic capabilities when combined with existing tools

Paradigm Shift: American Express will provide a major contribution to a shared responsibility model between customers and organizations to enhance security.
Additional Features: Throughout the development of this new service, additional features can be added such as personalized risk assessments and Amex Rewards.
Development & Integration: The final product will integrate seamlessly with the already existing ecosystem further improving and diversifying the cybersecurity tools for American Express.