JPMorgan is deploying AI to fight fraud in real time in its growing payments business. 

To do so, J.P. Morgan Payments is using a combination of advanced technologies and robust processes, Head of Trust and Safety Greg Hodges told FinAi News.  

“At the heart of these defenses are sophisticated analytics and machine learning models that monitor transactions as they happen, instantly flagging suspicious patterns or anomalies,” Hodges said. “These systems are trained to recognize typical customer behavior, so any deviation can trigger immediate scrutiny.”

The $3.8 trillion bank has also implemented multilayer authentication methods, including device fingerprinting to increase payments security, Hodges said.  

“If a transaction appears risky, automated systems can block or hold it for further review, while real-time alerts notify both customers and bank staff of potential threats,” he said. 

AI tools for clients

The bank is building its own AI tools and other technology to help clients fight growing AI-driven payment fraud that is “making it easier for fraudsters to deceive individuals and obtain sensitive financial information,” Hodges said.  

“We launched the Account Confidence Score in our cash management platform last year, an artificial intelligence and machine learning-powered proprietary tool [that] helps clients assess fraud risk before initiating a payment,” he said. 

The solution uses more than 15 billion J.P. Morgan Payments transaction records and evaluates accounts using multiple factors, including:  

• Age;  

• Recent transactions;  

• Location;  

• Payment history;  

• Known fraud;  

• Payment frequency; and  

• Linkages. 

A score is then generated to assess fraud risk before initiating a payment. The assessment will also offer suggested actions, such as additional reviews and tips to help prevent common security threats, including business email compromise, payroll fraud, invoice fraud and account takeover, he said. 

Growing payments arm at JPMorgan

The New York City-based bank launched its payments arm nearly a decade ago and it has become one of the fastest growing segments in its portfolio, Hodges said. 

JPM Payments reported fourth-quarter 2025 revenue of $5.1 billion, up 9% year over year. 

The business had four straight record quarters in 2025 and is a key growth engine for JPM’s Commercial and Investment Bank (CIB), contributing 26% of CIB’s net revenue of $19.4 billion in Q4, up 10% YoY, Hodges said. 

OF NOTE: Matthew McCown, executive director of the data and analytics team at J.P. Morgan Payments, will speak Tuesday, March 3, at the FinAi Banking Summit.at the FinAi Banking Summit. 

Register here for the inaugural FinAi Banking Summit, taking place March 2-3 in Denver. View the full event agenda here.