Knowledge-based authentication remains a fixture in the lender identity verification toolkit. Yet KBA is notoriously cumbersome for consumers and vulnerable to common fraudster tactics.
Treating every new client as a potential criminal is no way to begin a long and fruitful business relationship. This report, co-sponsored by Javelin, explores how advanced authentication practices can help financial services providers differentiate between threat actors and legitimate accountholders without compromising the legitimate client’s access.
A top 10 financial institution observed a high manual review rate for new customer applications was cutting into account opening numbers and lifetime value metrics. By introducing Neustar data into existing checks, the financial institution could reduce manual review populations 35%, reduce incurred fraud 11%, and increase new customer acquisition 1%.
To avoid revenue loss and improve customer experience, organizations need more efficient, automated, and intelligent fraud management solutions. Forrester Consulting’s Total Economic Impact™ framework found that an investment in Neustar Fraud and Authentication Solutions reduces digital identity fraud by 20%, delivers an ROI of 144%, and pays for itself in three months.