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Detect Application and Account Fraud without Increasing Customer Friction

A Holistic Approach to First Party Fraud
Preventing First Party Fraud - the attempt by an individual or group to establish facilities with a bank and acquire funds they do not intend to pay back.
First party fraud and specifically new account application fraud is rising, fuelled by the mass of personal data compromised in data breaches or stolen identities available for sale on the Dark Web.

Criminals create synthetic or manufactured identities to build up debt with no intent to repay, leaving lenders with massive losses and no true customer to chase in their collection and recovery efforts.

Application Fraud and Account Monitoring Infopaper Graphic
Once on a bank’s books, it is nearly impossible to differentiate between a customer that is in bad debt and one that is committing first party fraud. This can prove problematic when also trying to balance regulatory demands with the need to treat customers fairly.

Download a copy of our "Detecting Application and Account Fraud without Increased Customer Friction Infopaper" to understand the impact Application fraud has on banks, and the balance they need to strike in order to prevent fraud but also maintain a good customer experience. 
 
 

 
Banks can significantly reduce their levels of bad debt and collections expenses by specifically targeting first party fraud. Advanced network analytics with real-time screening is the key to early detection and prevention of risk threats before they result in large losses.
 
Our white paper, 'Application Fraud and Account Monitoring' discusses the challenges involved in combating first party fraud and established best practice to help prevent it.
 
These risk threats which can be detected using advanced network analytics include:
  • Credit risk
  • Fraud risk
 
The difference between credit risk and fraud risk is intent. Credit risk usually involves customers who received the goods or services with a genuine intent on repaying the debt but lack sufficient resources to meet their obligation. Fraud risk starts with the intent to receive the goods or services without the intent to repay on the debt.
 

You need a multi-layered approach

First party fraud is a growing and pervasive problem that is siphoning billions of dollars from financial institutions, insurance companies, and government agencies each year. The objective is to fraudulently access credit, and in order to combat this you need a multi-layered approach.
 
Our ' Application Fraud and Account Monitoring White Paper' will take you through such a multi-layered approach, including the steps and barriers to achieving success and outlining best practise needed for your organisation to combat first party fraud.
 

 
Fraudsters have developed well thought out approaches to commit first party fraud. The anonymity and ease of digital channels to open an account under false pretences to defraud institutions is fuelling first party fraud through new account fraud. Discover a multi-layered approach to combating this growing problem.