Security News > 2022 > June > Attack methods using hybrid bots enable criminals to open mule accounts at scale

During the first half of 2022, BioCatch data reveals that money mule accounts represent up to 0.3 percent of accounts held by financial institutions, and an estimated $3 billion in fraudulent financial transfers.

Applying BioCatch findings to the estimated 657 million bank accounts in the United States, this translates to approximately two million mule accounts and nearly $3 billion in fraudulent transfers in a year.

Researchers uncovered a likely reason behind the rise in new mule account creation: the use of hybrid bots that can open new accounts at scale.

"Financial institutions should expect that the use of bots in the account opening process will continue to grow, as they are a critical link in the fraud supply chain enabling criminals to cash out at the end of the money laundering process. However, mule activity can be detected at all stages of a customer's banking journey through behavioral biometrics."

In the UK, 156 million consumer bank accounts translates to 468,000 mule accounts and $702 million in fraudulent transfers.

Cybercriminals open mule accounts using stolen or synthetic identities, or criminals work with accomplices who use their personal information either wittingly or unwittingly to open money mule accounts.

News URL

https://www.helpnetsecurity.com/2022/06/23/hybrid-bots-mule-accounts/