Mobile & single sign-on access pose the biggest risk to future ID verification and fraud prevention according to latest research by Callcredit Information Group.
The research reveals that whilst 73% of fraud professionals think mobile devices will be the key facilitator of identification in the future, over half (60%) feel that they will present the biggest single point of compromise for fraud in the future.
Currently, just 43% of UK organisations are using mobile phone checks as a form of identity verification but one in five (18%) are planning to implement it over the next three years. This is unsurprising given that 50% of respondents believe that name and address data will be obsolete as a verification measure in the future.
The research indicates that companies are moving towards digital attributes such as email address and devices. When asked which piece of customer data provides the most fraud risk insights, email addresses came second with 44%.
John Cannon, Commercial Director, Callcredit Information Group, commented: “Over the past decade mobile phones have taken an increasingly important role in our society. One small part of this is how they have changed the fraud landscape. But there is an underlying tension when it comes to mobile for the fraud prevention industry – they are a key avenue in identity verification but they also represent significant risk. Fraud professionals must focus on using them to their advantage. By deploying tech-enabled identification solutions, mobile devices can actually help play a role in strengthening fraud prevention strategies, through enabling the quick and accurate verification of individuals.”
“With the rapid adoption of mobile phones by consumers to access an ever-increasing range of products and services, Callcredit continues to be at the forefront of digital identity innovation. We can now link the greatest range of digital identity attributes to physical identity, the latest being email addresses and mobile phone numbers. This opens up a wide range of new authentication use cases for our customers who can benefit from establishing trust between previously unlinked digital data items, such as a mobile phone and credit card or bank account number and email address. As mobile devices become the key to unlocking services, fraudsters will increasingly target them, so being able to increase security checks without impacting genuine customers is vital.”
Last year, in recognition of the growing importance of mobile phones in the identity verification process, Callcredit acquired Recipero, the leading mobile device information company relied on by police forces, insurers and retailers to investigate fraud associated with mobile phones.