Global: Bank of Ireland saved customers €9.7 million by using AI to detect fraud in card payments

The Bank of Ireland has revealed that it prevented €9.7 million in customer losses in 2025 by leveraging artificial intelligence to monitor and assess approximately one billion card transactions for potential fraud. The milestone highlights the growing role of RegTech solutions and compliance technology in strengthening real-time fraud detection and financial crime prevention across the banking sector.

By integrating AI and machine learning into its card processing systems, the bank enhanced its ability to detect suspicious activity instantly, reinforcing its compliance monitoring tools and risk assessment capabilities. The initiative demonstrates how advanced analytics can support both customer protection and broader regulatory compliance obligations in financial services.

According to the bank, the most prevalent fraud cases in 2025 were investment scams, followed by redirection and romance scams. While card fraud accounted for a higher number of incidents, the financial value per case was generally lower. Approximately 80% of card fraud cases occurred through online transactions, with many linked to social engineering tactics such as smishing and phishing.

Fraud patterns intensified during peak holiday periods. Between 23 and 29 December 2025 alone, the bank’s fraud prevention team handled more than 10,000 calls, underscoring how fraudsters exploit seasonal vulnerabilities.

The bank’s machine learning scoring model incorporates behavioural analytics and anomaly detection, enabling more effective compliance analytics and real-time threat identification. In addition, agentic AI is being deployed to streamline compliance workflow and case management processes within its fraud operations unit.

Beyond technology deployment, the Bank of Ireland has invested significantly in capacity building. Through its internal AI academy, more than 1,000 employees have been upskilled to support innovation and strengthen compliance management systems. The institution also maintains a dedicated fraud and financial crime department comprising 225 professionals focused on safeguarding customers and ensuring adherence to evolving regulatory requirements.

The bank’s broader digital strategy includes expanding financial inclusion initiatives. In June 2025, it introduced a children’s current account for customers aged seven to 15, reflecting its commitment to responsible innovation within a structured regulatory framework.

As financial institutions worldwide contend with increasingly sophisticated scams, Bank of Ireland’s results illustrate how AI-driven AML software, behavioural analytics, and automated compliance management can significantly reduce fraud exposure while reinforcing trust, security, and operational resilience in modern banking.