Personal and Corporate Identity Theft Protection
For decades, your customers have been taking their own steps to monitor and thwart suspicious activity using identity theft protection services. On the other side of the spectrum, companies have had a long-standing focus on fighting fraud.
Although consumer-facing tools and business solutions have important differences, they both try to solve the same problem: preventing and managing fraud.
Explore the difference between individual and enterprise identity theft protection.
When it comes to eCommerce identity theft and individual cases that could occur on a company’s watch, the tools that often prevent the use of stolen identities are the same tools used to fight all fraud. Your fraud management system is one of the first lines of defense in protecting your bottom line and your customers.
On the consumer side, the best companies for identity protection offer:
- Social Security number and credit alerts
- Notifications of suspicious activity
- Fraud warnings
- Notifications of a consumer’s identity information on an illegal website
- Alerts of public information record changes
- Reports of payday loan applications
It’s clear that both corporations and individual consumers are looking for comprehensive protection. However, even though many tools exist for both parties, identity theft is still a prevalent threat.
Uncover the state of eCommerce identity theft.
According to the Federal Trade Commission’s estimates, as many as 9 million Americans fall victim to some type of identity theft each year. The Bureau of Justice Statistics reports these fraud cases cost victims an average of $1,343 between 2012 and 2014 — some of which may have been recovered from financial institutions and some of which was out of pocket.
For these victims, it’s easy to lose trust in the retailer or financial institution that allowed the instance of fraud to occur or accepted a stolen identity. Letting identity theft go unchecked becomes bad for business — and detrimental for a brand.
Furthermore, businesses are bearing the burden of fraud cases related to stolen identities. The global cost of fraud has surpassed $1 trillion each year. In 2016 alone, synthetic identity theft cost banks at least $6 billion.
In 2020, it’s even more critical that businesses remain vigilant in detecting and thwarting this type of fraud because as online sales have increased, so has fraud. Other common types of fraud on the rise include:
- Chargebacks, one of the more expensive cons that fuel eCommerce fraud prevention, as this fraud tactic generally leads to additional costs and loss of inventory or time for services. Chargebacks can be the result of criminal or friendly fraud and can even lead to a business being unable to accept specific credit cards.
- Wireless and online gaming fraud, a rapidly expanding industry with 126 percent year-over-year growth as of April 2020. Fraud activities can include credential stuffing and streaming potluck schemes.
- Account takeover issues, which are increasing in eCommerce today but are particularly widespread in the online gaming industry as these companies depend on real-time approvals for small transaction amounts to ensure players stay engaged in a In 2019, the losses from account takeovers reached a total of $9 billion.
Whether done with intention or accidentally, between 40 to 80 percent of all fraud losses are related to friendly fraud. In these cases, the person who bought an item requests a refund from his or her bank by claiming the transaction was fraudulent.
The bank, often lacking the appropriate information to verify the claim, then issues a refund to the person and a chargeback to the retailer or business, costing the company time and money.
In short, businesses need to safeguard themselves against a wide range of potential fraud risks outside of simply focusing on corporate identity theft protection. Companies also need to prevent unauthorized cash transfers, account takeovers, mobile banking fraud, invoice fabrication and more..
Emailage can help everyone outsmart fraud.
Consumers will want to know they’ll be secure while conducting business with you because you’re leveraging best-in-class solutions. But, at the same time, they don’t want security to become an inconvenience.
To ensure both your business and customers are protected, it’s imperative to choose a fraud prevention tool that won’t increase cart abandonment but will help you maintain your company’s checkout conversion rate.
Combining transaction risk assessment and online identity validation, our aggregated scoring model fights the threats of fraudulent identities while delivering a frictionless experience.
To do that, we use the email address as a basis for identity validation because it’s required for every online purchase, is a ubiquitous form of ID, is the only unique global identifier and is consistently linked to an individual even though the person’s other information may change.
This foundation is then enhanced with hundreds of other relevant data elements. Together, they produce an easy-to-digest analysis that gives you a complete picture of the user’s identity.
Our cutting-edge tools stop fraudsters at account registration — or earlier. Emailage solutions also offer the following benefits to enhance identity theft protection:
- Full identity validation based on information such as email, phone, customer name, address and more
- Comprehensive risk assessment driven by holistic data points
- Network intelligence as an additional layer of protection, velocity tracking and monitoring new threats in real time
- No added friction to the user journey
- Increased conversion rates for real customers
Explore our suite of fraud management solutions to see what best fits your company’s needs.
Email Risk Score reports the risk associated with each transaction to allow fraud managers to make quick decisions.