# Financial sector cybersecurity and social engineering fraud > Live situation record from CLSTR: https://clstr.news/situations/financial-sector-cybersecurity-and-social-engineering-fraud > Updated: 2026-09-01T14:48:43.000Z. Sources: 10. Developments: 2. Financial institutions are increasingly implementing reinforced authentication measures, such as two-factor systems like Certicode Plus, to comply with European regulations. In France, major banks including BNP Paribas, Société Générale, and Crédit Agricole have integrated these mechanisms, with approximately 1.5 million users already adopting them. However, these technical safeguards are being challenged by evolving fraud tactics. Criminals are utilizing social engineering to bypass digital defenses by targeting human error. This includes impersonating contacts to hijack accounts or using psychological tactics to manipulate individuals into authorizing fraudulent transfers themselves. This has led to a growing distinction between identity authentication and user intent. In Authorized Push Payment (APP) scams, criminals manipulate customers into authorizing payments through their own devices. Because the user passes all multifactor authentication checks, the transactions appear legitimate to standard security systems. The sophistication of these social engineering tactics is reportedly being enhanced by generative AI. ## Timeline ### 2026-09-01: Financial fraud evolves as APP scams bypass traditional authentication Financial fraud is evolving as APP scams bypass traditional authentication by manipulating customer intent through social engineering, despite valid identity and device verification. 2 sources. https://clstr.news/cluster/financial-fraud-evolves-as-app-scams-bypass-traditional-authentication ### 2026-08-21: Cybersecurity trends: French banking authentication and rising fraud tactics French banks are adopting reinforced two-factor authentication to meet EU regulations, while cybercriminals continue to use social engineering and WhatsApp hijacking to bypass digital security. 8 sources. https://clstr.news/cluster/cybersecurity-trends-french-banking-authentication-and-rising-fraud-tactics --- Cite as: Financial sector cybersecurity and social engineering fraud. CLSTR, https://clstr.news/situations/financial-sector-cybersecurity-and-social-engineering-fraud