Defending financial institutions and consumers
What's a financial institution to do in the face of this growing threat? When fraud occurs, financial losses must be addressed, and recovery attempts are costly and time consuming. Consumer confidence declines – but requiring multiple and repeated authentication steps adds more friction to online interactions.
The best defense is to implement a multilayered, comprehensive plan, including:
- Monitor at the consumer level – Look for anomalies in behavior on website and mobile logins, calls, purchases and wire transfers, for example
- Consumer education – Remind consumers of common examples of emotional tactics and techniques
- Stronger authentication – Continuously expand and invest in robust authentication strategies throughout the account life cycle
- Targeted friction – Reserve multifactor verification for higher-risk activity, making it more difficult and time consuming for fraudsters to launch account takeover attacks, which will deter future attempts
- Alerts – Encourage consumers to receive notifications on account changes or transactions and establish portfolio monitoring across channels
Connecting the dots
Stronger authentication requires advanced technology that can pinpoint anomalies in consumer behaviors by understanding their patterns.
No two financial consumers act the same way. People do different things, in different places, in different ways. And whenever or wherever consumers transact, financial institutions need to accurately verify who is accessing accounts, making purchases or calling in. These unique patterns can help financial institutions detect and proactively prevent fraud.
That’s why Fiserv has introduced AuthHub, an intelligent data engine that connects Fiserv-managed consumer financial channels and touchpoints.
Combined intelligence gathered from debit and credit card transactions, online and mobile banking activity, ACH transactions, ATM interactions, Zelle® transactions, bill pay activity, wires activity, card tokenization, rewards programs and contact center interactions creates an in-depth profile of an individual’s financial services behaviors and patterns to better identify fraudulent activity before it occurs.