Signzy launches AI-led MuleShield to detect fraudulent accounts

By Gloria Mathias

Signzy, a digital banking infrastructure provider, has introduced the ‘MuleShield’ solution. This solution enables banks and NBFCs to identify mule accounts by generating a Trust Score using an AI model trained on real data prior to customer onboarding.

It conducts a thorough analysis of over 200 parameters and generates a Trust Score, which shows the probability of a customer being a money mule. This includes checks on Pincode, IP address, digital presence, KYC details, UPI information, and many other parameters.

As per industry reports, mule accounts are emerging as a significant threat to the financial sector, accounting for 55% of all fraud cases in India.

Signzy’s MuleShield solutions claim to help Indian banks enhance money mule detection by 72%, reduce operational costs by 25% through automation and analytics, and prevent a potential loss of $12 million in eight months. The company has detected over 400,000 mule accounts and finds that most such frauds occur in cities such as Mumbai, Delhi, Bengaluru, Hyderabad, and Kolkata.

Ankit Ratan, Co-founder and CEO, said, “Money Mule accounts represent one of the most significant threats to India’s banking sector, making their detection crucial in the fight against fraud. By generating a robust Trust Score, the API enhances the security and integrity of banking institutions, strengthening digital trust and ensuring that only legitimate users gain access to financial services. The solution will help financial institutions (FIs) to differentiate between good actors and bad actors at the time of onboarding and secure their digital infrastructure.”

‘MuleShield’ leverages AI and machine learning (ML) to analyse behavioural indicators, enhancing fraud detection accuracy. It will generate a robust Trust Score, empowering FIs to make informed decisions during the onboarding process.

Signzy is not just enhancing fraud detection; it is redefining the standards of security and trust in the banking sector. As FIs face increasingly sophisticated threats, MuleShield empowers them to protect their customers and ensure a safe and secure platform for digital transactions.