High Street Banks Failed To Adopt Security Steps That Could Protect Customers From Fraud

This morning, it has been announced that major high street banks have failed to adopt “two-factor” security steps that could protect customers from scams. Which? found that only five out of the 11 providers it tested offered this kind of login for online banking and that banks could be doing more to prevent fraud. Nick Brown, managing director at global identity data intelligence specialists GBG commented below.

Nick Brown, Managing Director at Global Identity Data Intelligence Specialists GBG:

“The internet and online banking has only made fraud easier – and you cannot deny bank fraud is a booming business. Individual’s identity details are so much more accessible online than in paper records. However, the benefits of online banking: speed, ease and accessibility of services globally mean that it’s difficult to avoid the need for an online identity. The real art in all this is to ensure that a customer’s relevant identity characteristics can be captured, verified and approved when you need it, and that fraudulent access is identified quickly and effectively.

Identity data intelligence, then, has a huge role to play in not only uncovering incidences of fraud, but also preventing fraud from occurring in the first place. By using more data, analytical insights and triangulation of multiple identity proofing techniques to authenticate a user and prove they are who they say they are, banks can minimise the impact of fraudulent activity for both the customer and the business itself. In short, banks need to realise the full impact the trusted use of identity data has in helping fight fraud.”