This website uses cookies, including third party ones, to allow for analysis of how people use our website in order to improve your experience and our services. By continuing to use our website, you agree to the use of such cookies. Click here for more information on our Cookie Policy and Privacy Policy.
This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 3099067.
Download Yc Banks Simon Says
Download File 🔥 https://urluss.com/2yGc7j 🔥
In this landscape, banks could be forgiven for thinking scam prevention requires an equally technical response. But as ethical hacker and digital fraud expert Simon Smith reveals, even some simple, common sense approaches have not yet been explored.
Ahead of the Scams Summit, Simon, who provides independent expert witness services to the judicial system in fraud disputes, gives his take on what banks could be doing to help tackle the issue.
Having worked directly with fraud victims for more than ten years, Simon has seen firsthand the damage they can cause. He has also seen how easy it was for victims to be tricked; and how few safeguards were in place when the fraudulent transactions took place.
If I were a bank teller, and I was face to face with a customer who was just about to transfer large amounts of money, I am confident I could prevent 100 percent of fraudulent transactions that came under my radar, simply by asking:
In the legal dispute, the bank in question blamed this woman and cited the fact she had been asked if the transaction was a scam, in their defence. Never mind that she had never before used internet banking, or performed a transaction like this.
Simon says banks should also block their customers from transferring money to BSB numbers that deal solely with B2B customers, if the customer is claiming they hold an individual account with the recipient bank.
These bank accounts have long been used by fraudsters to directly fund cryptocurrency accounts unbeknownst to the victims. The criminals then use these to launder money into an exchange before making a large crypto transaction.
There are specific BSB numbers that banks would need to be aware of. It is such a simple solution to flag these BSBs and stop everyday consumers transferring money to them, in the event they claim it to be their own bank account.
Simon Smith is Chief Executive of Official Intelligence. He is an independent Australian Cybercrime, digital forensics, software, systems, and lifecycle management expert witness who has given evidence in State and Federal Courts in Australia, including Tribunals, County, District and Supreme Courts.
He specialises in analysing, developing, auditing and reverse engineering software applications, computer and mobile programming and methodology, and digital forensics in online fraud and high-tech crime cases.
Goldman Sachs announced a $428 million quarterly loss Tuesday, just its second loss since going public in 1999. Jeffrey Brown discusses the state, the future and regulation of large American banks with banking industry consultant Bert Ely and Simon Johnson, former chief economist of the International Monetary Fund.
Even as the Occupy Wall Street protests continue nearby, some of the nation's largest financial firms are reporting that they're feeling a very particular and different kind of pain right now to their bottom lines.
Goldman Sachs announced a $428 million loss for the third quarter yesterday, just the second loss since it went public in 1999. J.P. Morgan Chase, now the nation's biggest bank, posted a profit decline, its first in three years. And Bank of America, which just fell from number one, did have a third-quarter profit, but much of that was reportedly due to accounting procedures, instead of strong basic business.
We assess the state and future of the banks now with Bert Ely, a banking industry consultant who runs his own firm in Alexandria, Va., and Simon Johnson, MIT professor, former chief economist at the International Monetary Fund, and co-author of the book "13 Bankers."
The biggest banks, I think, are proving themselves to be too big to manage. The management of Bank of America in particular is really struggling, but even Goldman Sachs seems to be having great difficulties in today's market.
Fee income of various types is down also. And particularly for the smaller banks, they're faced with rising costs of complying with banking regulations. So there are a variety of pressures on the banks, and they're not going to ease up too soon. If there's any good news at all, it's that many of the banks are putting the worst of the loan loss problems behind them.
I would emphasize the interaction of the shocks coming from Europe with the fact that we don't have a lot of capital. There isn't much equity financing in our banks. And therefore they don't have strong buffers against losses.
So when they see the potential dangers coming from Europe, they hunker down, they cut back on loans, they get ready for the storm in that fashion, and that of course has a negative contracting effect on the rest of the economy.
Well, Simon, how much of the problems today are self-inflicted problems that never got resolved? We talked many times on this program several years ago in the midst of the financial crisis about all the bad assets out there.
There is estimated to be about $700 billion in negative equity in residential mortgages. That's mortgages worth less than the house. So, the house is worth less than the mortgage. And that, of course, is sitting on the bank's balance sheets. They don't want to deal with it. They don't want to do a write-down of any kind.
And that's paralyzing that the housing market and leading to blights in many communities, where the banks don't want to take a loss and move on, because they don't have enough capital. They never raised enough capital. They don't have enough equity to absorb the losses. And they're fearful of what would happen and how the market would see their future if they were to recognize those losses.
But to come back to something that Simon said about the banks not having enough capital, in order to attract that capital, banks have to have strong profitability and good growth prospects. And many of them right now don't have that.
So you have a chicken-and-egg situation. And, unfortunately, I think, because of the weak economy, we are going to continue to stumbling along for a while, as the banks slowly work through their problems of the past, but are also dealing with the weak economy and this current regulatory environment.
But I would emphasize that the banks, left to their own devices, are adjusting very, very slowly. Bank of America, for example, is a $2.2 trillion bank. That's their total assets. Their dramatic restructuring amounts to tens of billions of dollars of asset disposals. It's too little too late.
Bank of America destroys enormous amount of value. It bought companies, paid $148 billion for companies in the past 10 or so years. The market value of Bank of America today is between $65 and $70 billion. But they're too big to manage. They're destroying shareholder value. The shareholders should be demanding that Bank of America is broken up.
Gov. Jon Huntsman, the presidential candidate on the Republican side, had a piece in The Wall Street Journal this morning saying, simply, too big to fail is too big, a very powerful, strong message. It resonates across the right and across the left. And Huntsman says you can do this in various ways, and if you don't do it, we will end up like Europe, where, in the best-case scenario, the state is going to take over the banks and you are going to have even more of a mess with the government trying to run credit.
We absolutely don't want to go there, but that's, unfortunately, where the Obama administration policies are taking us, and that's where the kind of proposals that Mitt Romney puts forward is also taking us. So I think we could be on the verge of a very interesting new political discussion on these issues.
But at the same time, we are also going continue to see consolidation within the banking industry, particularly among smaller banks, because they're having a hard time making money and they are burdened with these regulatory costs.
I don't think we're going to see the big banks broken up by the government. I think what we will see instead is that they themselves, under regulatory pressure and government pressure, downsizing, selling things off, shutting things down, but I don't think we're going to see a dramatic restructuring of the U.S. banking industry and of the large banks.
JOHNSON: I think I'm signaling something a little bit shocking to Americans, and to myself, actually. Which is the situation we find ourselves in at this moment, this week, is very strongly reminiscent of the situations we've seen many times in other places.
But they're places we don't like to think of ourselves as being similar to. They're emerging markets. It's Russia or Indonesia or a Thailand-type situation, or Korea. That's not comfortable. America is different. America is special. America is rich. And, yet, we somehow find ourselves in the grip of the same sort of crisis and the same sort of oligarchs.
JOHNSON: It's a way of governing. As you said. It comes from, you know, a system they tried out in Greece and Athens from time to time. And it was actually an antithesis to democracy in that context.
MOYERS: Are you saying that the banking industry trumps the president, the Congress and the American government when it comes to this issue so crucial to the survival of American democracy?
JOHNSON: I don't know. I hope they don't trump it. But the signs that I see this week: the body language, the words, the op-eds, the testimony, the way they're treated by certain Congressional committees, it makes me feel very worried.
I have this feeling in my stomach that I felt in other countries, much poorer countries, countries that were heading into really difficult economic situations. When there's a small group of people who got you into a disaster, and who were still powerful. Disaster even made them more powerful. And you know you need to come in and break that power. And you can't. You're stuck. 152ee80cbc
download driver print id touch