Bo, a new digital bank set up by the Royal Bank of Scotland, became an instant target for fraudsters, according to reports in The Times.
Featuring a bright yellow Visa card and a mobile app, some 30% of applications received by Bo in its first two weeks were fraudulent. The figure underscores the scale of the challenge faced by banks in the digital age as they try to counter money laundering and cyber-crime.
Bo CEO Mark Bailie revealed that criminals who wanted accounts for money laundering had been blocked. He said it was “interesting how keen the criminals are to get hold of bank accounts”, adding that it happens with all the big banks.
The new bank has entirely separate technology systems to the rest of RBS, and is run from London.