As mobile devices eclipse computers and laptops as the preferred method for consuming online services, cybercriminals have followed users, porting their modus operandi. While mobile has opened up new ways for users to communicate and connect without being tied to a desk or a power outlet, it has also presented criminals with more opportunities to perpetrate fraud and carry out attacks that bypass traditional detection tools. As a result, companies need to apply new fraud controls to protect mobile users and enable them to carry out banking activities securely. Nevertheless, end user experience cannot be negatively impacted by these security measures: Users want to open and use apps freely, without being required to take additional authentication steps. They also expect to be protected continuously, throughout their entire journey.
Digital banking has become the single most effective channel for financial institutions to drive growth, increase revenue and attract new customers. Yet, it also introduces more risk, and cybercriminals are following the money right into the online account opening process. This white paper explores emerging security risks in the account opening process, current weaknesses in technology and business process that are leaving blind spots, and new approaches to managing fraud that are getting results.
The surge in digital channel usage brought on by COVID-19 forced financial institutions to accelerate digital transformation as a way to address growing demand. With previous investment weighted towards customer experience, financial institutions have had to re-evaluate their digital strategy with a renewed focus on identity proofing as a core requirement to continue operating.
Digital services continue to present cybercriminals with a lucrative target of opportunity. BioCatch research shows that, since the beginning of the Covid-19 pandemic, fraud attempts have surged globally. Account opening fraud attempts have increased 33 percent and account takeover attacks have spiked 47 percent. As attacks get more sophisticated and pervasive, the solutions required to combat them must provide deeper visibility to better detect malicious behavior in online sessions.
BioCatch takes a unique approach to solve the Trojan predicament. Rather than detecting a specific Trojan variant, wouldn’t it be better to detect all types of malicious actors, be it Trojans, bots or other adversaries? And what if we could not only protect against current, known, threats, but also future, unknown modes of operation? And finally, what if this detection can be truly continuous, easy to integrate with and deploy, with tools that provide visibility into the user activity?
New account opening fraud can directly impact the bottom line and threatens new digital business models, especially those that rely on growth through rapid customer acquisition. From credit cards and deposit accounts to a wide range of lending products, cybercriminals spare no effort to turn a profit by exploiting weaknesses in the digital onboarding process. This e-book explores the financial and business impacts of new account opening fraud, the effect on customer experience, and how behavioral biometrics can be used to reduce fraud risk and increase customer acquisition in digital onboarding.
Account takeover fraud remains an ongoing problem for financial institutions, e-commerce merchants, and virtually any organization that offers products or services that can be monetized. Last year, account takeover fraud cost U.S. businesses nearly $7 billion in losses. This e-book provides insights into what is fueling the growth in account takeover attacks, what traditional fraud prevention tools are missing, and new strategies and approaches to fight back.
Within a remarkably short period of time, COVID-19 has dramatically altered the way in which the global population works, transacts, and interacts. Social distancing, a term that was not in most people’s vocabulary just a few short months ago, is the new norm. Fraud and AML operations functions at financial services firms have not typically consisted of a remote-enabled workforce, nor are most operations centers known for ample space between workers, so the shift to remote workers and the requirements of social distancing have necessitated a rapid adjustment for firms around the globe.
According to multiple threat index reports issued at the end of 2018, the threat of Remote Access Trojans (RATs) is at an all time high. One RAT made Checkpoint’s Global Threat Index Top 10 list, while Proofpoint reports that the number of RATs doubled each quarter of 2018, accounting for more than 5% of all malicious payloads for the year, marking a significant change from the past.