PaymentsJournal
No Result
View All Result
SIGN UP
  • Commercial
  • Credit
  • Debit
  • Digital Assets & Crypto
  • Digital Banking
  • Emerging Payments
  • Fraud & Security
  • Merchant
  • Prepaid
PaymentsJournal
  • Commercial
  • Credit
  • Debit
  • Digital Assets & Crypto
  • Digital Banking
  • Emerging Payments
  • Fraud & Security
  • Merchant
  • Prepaid
No Result
View All Result
PaymentsJournal
No Result
View All Result

KeyBank Recovers $2 Million in Elder Fraud Scheme

By Tom Nawrocki
February 20, 2026
in Analysts Coverage, Fraud & Security
0
0
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn
gift cards

In a rare victory against elder financial fraud, KeyBank has recovered $2 million stolen from some of its oldest customers—a reminder that swift action and oversight can make all the difference. According to the FBI’s Cleveland field office, every victim in the case got their money back.

The scheme exploited the most vulnerable: Yue Cao, a former quantitative analytics manager at KeyBank, fabricated online banking profiles for clients over 90 and funneled their savings into accounts he controlled. He deliberately targeted customers who had never used online banking, making the theft less likely to be noticed. In one shocking instance, he even opened an account for a man who had already passed away.

A Vulnerable Population

KeyBank’s internal fraud detection team flagged the unusual activity and quickly referred the case to the FBI before the victims were even aware. Earlier this month, a federal jury convicted Cao on ten counts of bank fraud, four counts of aggravated identity theft, and one count of money laundering.

Elder financial abuse remains widespread. The FBI’s Internet Crime Complaint Center reported a more than 40% increase in complaints from people over 60 in 2024. American adults in this age group lose an estimated $38.5 billion annually, with average losses reaching $83,000.

Guidance for Banks

KeyBank’s proactive approach demonstrates how vigilance and early intervention can protect vulnerable customers and recover stolen funds. It sets an example for other banks to educate and safeguard their clients before it’s too late.

“First and foremost, when working with scam victims, leading with empathy is the most important takeaway,” said Suzanne Sando, Lead Analyst of Fraud Management at Javelin Strategy & Research. “Banks need to treat the victim as just that—a victim—and not as a burden to the bank. Working with empathy and compassion helps to reduce the emotional toll victims face in the wake of a scam, which is often a leading reason why many scam victims don’t report their crimes.

“Banks should also manage expectations for the victim during the resolution process,” she added. “How long will it take? Who can they contact with questions or follow-up information? What’s next? Lay out the steps the bank is taking, the steps the victim may need to take, and expected timelines. Being transparent about the process eases stress and frustration in an already stressful situation.”

0
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn
Tags: Bank FraudElder FraudFBIFraud ManagementKeyBank

    Get the Latest News and Insights Delivered Daily

    Subscribe to the PaymentsJournal Newsletter for exclusive insight and data from Javelin Strategy & Research analysts and industry professionals.

    Must Reads

    bank chatbot

    When It Comes to Chatbots, Banks Are Falling Behind Fintechs

    February 20, 2026
    embedded payments finance

    How Developers Are Driving the Future of Embedded Payments

    February 19, 2026
    gift card strategy

    The Gift Card Shift: From Convenience to Core Shopping Strategy

    February 18, 2026
    Tina Shirley

    From Cross-Border Payments to Community Banks: The Future of Zelle®

    February 17, 2026
    Startups: Fintechs Data Streaming Technology in Banking, corporates Enriched Data vs Faster Payments

    Fighting Fraud in the Era of Faster Payments

    February 13, 2026
    cross-border payments

    Solving for Fraud in Cross-Border Payments Requires Better Counterparty Verification

    February 12, 2026
    agentic commerce

    Demystifying the Agentic Commerce Enigma

    February 11, 2026
    payment gateways

    How Payment Gateways for Businesses Can Help You Offer Your Customers More Options

    February 10, 2026

    Linkedin-in X-twitter
    • Commercial
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Digital Banking
    • Commercial
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Digital Banking
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    • About Us
    • Advertise With Us
    • Sign Up for Our Newsletter
    • About Us
    • Advertise With Us
    • Sign Up for Our Newsletter

    ©2024 PaymentsJournal.com |  Terms of Use | Privacy Policy

    • Commercial Payments
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    No Result
    View All Result