Advancements in technology bring unique challenges to businesses. From overhauling daily processes to offering new services for customers, organizations must embrace and adapt to changing technology in order to remain competitive in the marketplace. As technology improves however, threats to consumer privacy and the security of business data also get more sophisticated. According to research conducted by the Ponemon Institute, negligence and malicious outside attacks are the main causes of data breaches. Identity proofing coupled with a robust fraud platform allows businesses and financial institutions to better protect customers’ identities and help control access to sensitive information that can be used in identity theft.
When a Data Breach Occurs
A highly publicized data breach recently occurred when payment card data was stolen from Target’s infrastructure. Criminals were able to access consumers’ sensitive information and use it to make fraudulent purchases. This type of personal and financial data is highly valuable to fraudsters and can often be found on the black market following a data breach. Therefore, it is now more important than ever for businesses to implement identity proofing and fraud prevention platforms that go beyond basic data matching in order to spot fraud on a deeper level while also protecting customers’ identities.
How Identity Proofing Works
Identity proofing, also known as identity verification, is a process employed by organizations in order to confirm the true identity of their consumers in a customer-not-present atmosphere. In order to meet compliance standards and fight against fraudulent activity, companies gather information from their clients and check it against available data in order to establish identity.
Innovation in Identity Proofing
Not too long ago, prospective clients only needed to register an email address and password to set up an online account. Over the years, however, processes have become much more thorough. And for good reason – to protect customer privacy. Although organizations must now be more comprehensive in terms of security, there are systems on the market that can validate customer identity and deter fraud without friction and help organizations drive customer acquisition through seamless processes and user-friendly tools. In addition to the account setup phase, identity verification techniques are used throughout the entire customer lifecycle. This keeps unauthorized individuals away from your product and/or service and easily allows the good customers admission.
With an advanced identity proofing system in place, your organization will be able to meet your needs for authorization , compliance, and more. This is done by verifying the true identity of your customers before allowing access, confirming the age of consumers if you sell age-restricted items, scanning and validating a photo ID, and preventing fraudulent transactions from taking place. The best solutions for your organization will also be flexible and allow you to change criteria or settings as your needs evolve.
Find a solution that is built to help you achieve your business goals by enhancing the customer experience and adding security along the way.
1. “2011 Cost of Data Breach Study – United States,” Ponemon Institute LLC and Symantec, March 2012, Web, 24 June 2014.
IDology, Inc. is a leader in identity proofing and provides solutions for organizations operating in a customer-not-present environment. The IDology platform drives revenue, decreases operating costs, and meets compliance needs while acting as a collaborative hub for monitoring and stopping fraudulent activity across the entire network. IDology is based in Atlanta, GA, and was founded in 2003.