Identity Verification Trends for 2021

Identity fraud is a big problem, and it’s not going away anytime soon. Over the last few years, fraud rates have climbed steadily and many organizations are having trouble keeping up with fraudsters. ID verification is a pivotal aspect of keeping banks and other organizations free from fraud and bad actors. This blog examines some of the trends related to identity verification and tips to evolve your fraud strategy.

Trend 1: AI will play a bigger part in fraud management strategy.

Artificial intelligence (AI) is being applied to fraud detection across the board - from card not present transactions on eCommerce sites through mobile commerce apps to security policies that detect abnormal behavior by employees. The hope is that AI fraud detection will help organizations spot fraud more quickly and prevent it before it happens.

Trend 2: Biometrics are becoming a bigger part of fraud prevention strategy.

Fingerprints, iris scans or facial recognition - biometric technology is playing an increasingly larger role in fraud management strategies, but the hope is to make them ubiquitous across every transaction type. The fraudsters are also getting better at avoiding these systems - so organizations need to not only have biometrics in place but make them difficult to circumvent.

Trend 3: New fraud will emerge as fraud prevention tactics evolve.

Fraud is constantly shifting and evolving, with new fraud emerging all the time. As fraud prevention strategies change, we can expect a whole new fraud to emerge. Fraudsters are getting better at hiding their fraud from detection. Along with new fraud emerging, fraudsters also have gotten more skilled over the years in how they commit fraud and hide it from authorities or organizations - meaning that prevention has become a bigger challenge than ever before. While these trends for online identity verification in 2021 may not be surprising, they do highlight the need to be proactive. With the changing fraud landscape, it’s important to take steps today to evolve your fraud strategy so that you can be prepared for anything tomorrow may bring! [wl_faceted_search]