Security News > 2022 > June > How financial institutions are improving customer experience with fraud prevention measures

Interestingly, the expectations for a friction-free journey have made financial institutions rethink the false dichotomy between maintaining stringent security and a positive customer experience.

Savvy financial institutions are realizing that they don't need to choose between customer experience and fraud loss; rather, they need to identify and implement more efficient and effective tools when it comes to verifying with whom they are conducting business.

The market can't offer a single silver bullet to stop all instances of fraud, but it can provide intelligence that, when optimally collated and cross-referenced, can effectively put a stop to millions of dollars in fraud loss while also protecting the customer experience.

One top-10 financial institution found that its new customer acquisition efforts were being thwarted by its high rate of reviewing new applications manually to avoid instances of fraud.

These passive authentication practices can identify and segment low-risk populations from high-risk, enabling financial institutions to treat legitimate customers as valued individuals, rather than as potential fraudsters.

Not only can financial services companies provide these legitimate customers with the experience they deserve and expect, but they can lower their operations costs and their losses due to fraud.

News URL

https://www.helpnetsecurity.com/2022/06/17/financial-institutions-fraud/