Omni-channel Banking & Fraud
Detect fraud anytime, from anywhere, on any device.
Demanding new security solutions.
Financial institutions (FIs) are under unprecedented pressure from the competitiveness of the market and rising customer expectations. As a result, financial institutions need to be able to offer new products and faster services across a range of channels and payment types. Getting new offerings to market faster often increases fraud risk, but delaying the acceleration of new products and services can lead to customer churn. At the same time, most current fraud prevention systems are not capable of detecting escalating attacks as fraudsters merge their activity across channels and payment types into a single multi-faceted scheme.
Industry forces are driving change.
The main design principle of Friction-Right Digital Banking is to identify customers with behavioral biometrics, as opposed to static identity verification, self-learn customers’ digital (online/mobile) and omni-channel payments activities, and enable the right-friction with multi-factor authentication.
Banking anytime, anywhere, from any device.
Many banks are stepping up, creating the easy, intuitive, low-friction banking experience that consumers demand. And while Millennials may be the driving force behind many new banking products and services, other account holders are quickly seeing the benefits and are becoming equally at risk of churn if their FI is unable to keep up with competitors.
The Emergence of Omni-channel Fraud
Another evolution of fraud techniques is the move to omni-channel attacks where fraudsters blend channels as needed to get information, initiate attacks, and complete transactions. Many FIs still have standalone solutions from different technology providers that monitor one channel or payment type. These one-channel solutions create data silos that fail to link together significant data to detect omni-channel attacks.
How Omni-channel Fraud Prevention Mitigates New Risks
Omni-channel fraud prevention takes a customer-centric approach instead of a fraud-centric or channel-centric approach. It merges and blends all activities by each account holder in any channel to create a 360-degree view of behavior, and then analyzes the blended data to look for suspicious or high-risk activity in the context of all of what the account holder has done recently and historically.
Rules-based system are ineffective at detecting fraud.
Guardian Analytics offers the right combination of machine learning and behavioral analytics to create Friction-Right Digital Banking. Together, these technologies help optimize the necessary balance between a smooth customer experience and protection from fraud. Read our white paper to learn more about omni-channel fraud detection and prevention.