
Common types of financial fraud
- Credit card fraud: Cybercriminals target unsecure websites to steal credit card information from customers. Then, they use that information to make unauthorized purchases.
- Identity fraud: Using stolen IDs, passports, login credentials, and other private documents, a fraudster will gain access to a customer’s account, then make unwanted purchases under their name.
- Mobile fraud: Mobile fraud involves the theft of customer information from mobile-banking apps. Most commonly, cybercriminals gain access to a customer’s mobile bank account, then deposit phony checks using remote deposit capture (RDC) technology.
How does financial fraud detection software work?
- Confirming user identities: Before a customer can engage with your business’ platform, fraud detection software uses sophisticated algorithms to confirm that the user is who they claim to be.
- Ensuring compliance: Financial institutions must comply with various governmental regulations related to preventing identity theft, money laundering, and other schemes. Modern fraud detection solutions are developed with these standards in mind and are updated frequently, helping businesses to avoid fines and other legal consequences from regulatory entities.
- Protecting customer data: When a customer creates an account with your business, it’s your responsibility to protect their data. Using AI-powered identification and authentication tools to monitor user behavior, risk managers can better prevent fraudsters from gaining access to customer data.
Best financial fraud detection software solutions
ThreatMetrix
Featurespace
SEON
Feedzai
Experian Hunter
Implementing the best financial fraud detection software for your business

Gibson Toombs
Gibson Toombs

Gibson Toombs
Gibson Toombs
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