Experian data reveals that as many as 38 customer records in every 1000 could be flagged as suspicious with a potential fraud marker warranting further investigation.
So, how effective are your online fraud defences?
The sensitive balancing act between optimising customer on-boarding and preventing fraud can often be a difficult thing to get right, with lengthy and laborious identity checks turning customers away to the competition.
No one wants to turn away legitimate transactions, especially from loyal customers – but with revenue, reputation and brand at stake, no one can afford to ignore the potential risk of fraud.
Our data gives us further insight into those critical 38 fraud markers. It highlights how 12 of those could be fraudulent, a further eight may be deceased but the account is still active, while seven could be living at one of the top 1.5% suspicious addresses in the UK. As it is, 33 could be known to other organisations as suspicious, eight could be under sanctions, while a further three could have compromised identities and possibly be victims of fraud.
It’s vital that organisations are able to protect themselves from risk, while complying with regulation. But losing genuine customers due to systems and processes that aren’t efficiently detecting the right areas of fraud means lost revenue and could have a negative impact on reputations.
Cost-effective and innovative systems that are tailored to the exact needs of the business in question and offer real-time results are one way of improving fraud detection. Taking a view to improve the efficiency of your risk and fraud resources could prove invaluable in allowing you to allocate the right resources, against the right areas, for the best possible impact.
However, to achieve this takes coordination between your business and those with the right expertise and insight into fraud best practice and preventive methods.Why not attend our free webinar to find out more? Tuesday 4th November 2014, 2-3pm: http://bit.ly/1waoDbw
- Experian addresses fraud and cybersecurity challenges as risks mount for banks, retailers and public sector