Land Bank of Taiwan has implemented multiple strategies, including Know Your Customer (KYC) in-person care, designated transfer anti-fraud mechanisms, and incorporating abnormal transaction patterns into early warning systems. Over the past year, the bank successfully prevented nearly 200 fraud cases, blocking a total of NTD150 million. After joining the “Eagle Eye Anti-Fraud Alliance,” the bank has expanded its use of AI models to strengthen fraud prevention efforts.
As global technology continues to evolve, fraud tactics have become increasingly sophisticated. To combat new AI-driven fraud methods, Taiwan's Legislative Yuan recently passed the “New Four Anti-Fraud Laws” in a third reading, complementing the Executive Yuan's “1.5 Edition of the New Generation Anti-Fraud Strategy Action Plan.” This comprehensive plan includes measures such as education and awareness, message blocking, financial flow disruption, and investigation and enforcement, significantly boosting anti-fraud effectiveness. The plan will expand next year to include Anti-Fraud 2.0, establishing joint defense and reporting mechanisms between financial institutions and virtual asset service providers.
In line with the nation's upgraded anti-fraud plan, Land Bank of Taiwan proactively joined the “Eagle Eye Anti-Fraud Alliance,” formed by the National Police Agency under the Ministry of the Interior and 35 financial institutions across Taiwan. The bank has developed its “AI Abnormal Account Early Warning Model,” which went live in August this year (2024). Compared to past manual judgments, the model’s accuracy in predicting abnormal accounts has significantly improved. Once signs of suspected fraud appear, the bank can promptly monitor and manage accounts, effectively safeguarding customer assets.
In addition to leveraging technology, the bank has enhanced internal employee training, making it more detailed and comprehensive than in the past. It regularly invites the National Police Agency's Criminal Investigation Bureau to educate employees on financial fraud trends and techniques for preventing fraud at service counters. Special attention is given to cases such as non-passbook deposits into accounts not belonging to the customer, elderly clients, and long-time inactive customers. For customers who have been warned by law enforcement, stricter identity verification procedures are followed when making withdrawals, transfers, or remittances at service counters.
However, fraud prevention is not solely the responsibility of the government and banks—society plays a vital role as well. To raise public awareness of fraud prevention, Land Bank of Taiwan has actively promoted anti-fraud education through public welfare initiatives such as “Visiting 368 Townships Nationwide,” “Fraud Prevention Pioneers: Youth Stepping Up,” and events held by the Taiwan Financial Services Roundtable. These efforts have reached over a million people through the bank’s nationwide branches, official website, and social media platforms, helping to improve the public's financial literacy and fraud prevention knowledge and fulfill the bank’s corporate social responsibility.
Contact: Ku-chien Lin
Tel.: 02-2348-3701
