Online payments have skyrocketed with the boom of digitisation and e-commerce. The increased traffic of online payments comes with the risk of data breaches and fraud. Enterprise companies and businesses have always been a common target to these frauds and data breaches due to the valuable data and the enormous transactions they handle.
Contrary to popular belief, The attackers target small and medium enterprises even more than the established ones due to the lack of sophisticated cybersecurity, identity authentication solutions and fraud management payment solutions. Cybercriminals infiltrate the data sources and hack important financial or personal information remotely to cause financial and reputation loss for the organisation.
Read more: Why Digital Identity Verification Is Crucial In 2021?
Most data breaches are done by malware attacks and payment card fraud, human error etc. Stats say that the number of publicly reported breaches in the first half of 2021 amounted to a whopping 1,767. This breach has exposed as many as 18.8 billion user data. The breaches are even more increased, especially in situations involving payments.
Why are Identity Authentication Services Imperative?
Consumer identity verification is essential to know if the person behind the gadget is who he claims to be. The customer identity can be verified using biometrics, password or valid authorisation methods.
A third party verifier can speed up the process through document verification, face-matching and KYC watchlist. This system will allow you to verify your customer across the globe by minimising any chances of fraud.
Authentication service solutions are especially important because online businesses need to know if the data furnished by the customer is genuine to confirm his credibility. Authentication reduces the risk of fraud and assists with Anti-Money Laundering (AML) and Know Your Customer (KYC) regulations.
Additionally, the identity verification solutions allow today’s business to deliver a customised transaction process and hassle-free payment.
Why Do Businesses Need an Identity Verification Solution?
Firms need identity authentication services to prevent financial crimes. Identity authentication solutions will help businesses establish the credibility of the user by leveraging artificial intelligence.
Not having a streamlined identity authentication process creates risks, reputation loss and financial loss to companies as customers lose trust in enterprises once it is damaged, especially in terms of payment security.
How Does Consumer Identity Verification Work In Payments Processing?
When a customer is trying to pay you through your website, the system automatically uses real-time intelligence to provide risk-based authentication and confirms customer identity. It determines if they are a threat and identifies customers who perform suspicious transactions. It regularly scans the customer list to keep it updated, thereby preventing financial crimes and data breaches.
An identity verification solution should integrate seamlessly with your other technology. It should help process the data from multiple sources and analyse, segment, activate and process it.
Wibmo is an online payment provider with two decades of experience in the digital payments industry. We have a 3-D secure Identity verification system in place for easy checkout and EMV payment processing. We offer enhanced fraud and risk management to fulfil the current and future market requirements, user authentication with minimal downtime.