An online presence used to reach your customers and enable online transactions is essential to growing your business. According to CMO.com, Forrester found that more than three-quarters of 57,499 U.S. online adults surveyed had ordered products or services online. However, in the 2014 Fraud Report recently released by IDology, 86% of respondents said that potential fraud attempts were most prevalent in website applications. This is why it is imperative that your business has a strong identity verification and fraud prevention platform that protects your business when performing online transactions. However, as fraudsters continue to gain access to customer identity and account information, what can you do to minimize risk?
Using Collaborative Fraud Prevention Platforms
Keeping current with the latest fraud trends as well as implementing a collaborative fraud prevention platform allows you to leverage the power of the network to spot and stop fraud. A collaborative fraud prevention program allows businesses to minimize risk and loss by providing robust analytics so you can stay ahead of fraudsters. These platforms assist with identity verification so you can be confident that your customers are who they say they are. You gain more insight into identity, activity, location and device based fraud attributes during the customer authentication process so you can quickly pinpoint suspicious behavior and escalate transactions that need further review while reducing friction for legitimate customers.
Meeting CIP Compliance
When developing an identity verification and fraud prevention program, it is also important to ensure that you are meeting the requirements for developing and implementing a Customer Identification Program (CIP) . CIP and Know-Your-Customer (KYC) rules are put in place to keep personal data pertaining to customers out of the hands of criminals. In addition to complying with various compliance rules and regulations, it is important to be able to have a flexible solution that keeps you in control so that you can make adjustments to your fraud prevention platform as necessary and to stay ahead of fraudsters.
IDology, Inc. is an identity and age verification solutions provider based in Atlanta, GA. IDology develops innovative technology solutions and acts as a collaborative hub for clients to monitor and stop fraudulent activity while driving customer acquisition and meeting compliance requirements.
1. Abramovich, Giselle, “15 Mind-Blowing Stats About Online Shopping,” CMO by Adobe, 7 May 2014, Web, 4 November 2014.
2. “IDology 2014 Fraud Report,” IDology, n.p., n.d., Web, 30 October 2014.