As financial institutions strive to deliver consumers a frictionless digital account-opening experience, they should be careful not to skimp on fraud detection.
In a recent analysis of cases investigated and determined to be new-account fraud, 90 percent were found to have at least four account-opening attempts spanning multiple institutions. In one extreme case, an address in Wisconsin was used in 180 fraud attempts.
In this brief podcast, Kevari CEO Adam Elliott explains that institutions should not have to sacrifice experience over fraud detection. It is possible to achieve precision and a low false-positive rate using technology that analyzes:
- Identity elements
- Contact information (i.e. address, email, phone number)
- Inquiry velocity (from a network of financial institutions)
- Investigation insights (from a network of fraud investigators)