Contextual Awareness ‘Let the Right Man In’

Financial institutions (FIs) can BE THINK thus the gatekeepers of online commerce.

In today’s climbing environment SLEIGHTcriminals use advanced technologies to impersonate legitimate consumers. However, FIs continue to rely on rules-based systems to verify account holders, using old-school static information (passwords and security questions) to assess one’s risk. transaction.

entry Chief Technology Officer Gerhard Oosthuizen told PYMNTS new methods of witness guaranteed, balancing security worries about a hassle-free experience.

“When looking at risk-based authentication, people traditionally see it as a ‘yes or no’ decision,” Oosthuizen said.

Binary consideration is based on approving a transaction or denying it. Always-on, faster online commercehoweverthe window surrounding that decision is shorter. As Oosthuizen says, everything has to happen in real time – in milliseconds – but also everything FOR the most part the information available to base such decisions is limited or flawed. That means good transactions deniedor fraudsters can get past the bank’s defenses.

“Ultimately, the goal is to create an optimal experience and use the signals and the information available to let in the ‘right person’,” Oosthuizen told PYMNTS. “If you get it wrong, you lose that client, they stop using the product, or they stop using your card if they have a bad experience.”

“Awareness of the context” of a consumer and a transaction is key, using various signals to determine whether a transaction should be approved or denied – or whether in addition, Step authentication is required, he said. Therefore, to avoid the reduction of a potential legitimate customer, the system can reach to customer to collect additional signals to help make a more accurate decision. The type of challenge is also adaptive, focused on creating minimum friction while mitigating the potential fraud vector identified.

Putting Things in Context

“We can use technology to capture multiple signals to determine if an individual is transacting on a mobile phone or another device and if that device is alone. recently used,” he said. “Advanced signals can also be tapped in real time to build on historic view of a customer, including whether they have transacted with a merchant before, where goods are that was sentif they use familiar email addresses and banks, and what information which is entered to a device.”

Entersekt’s Authentication Advisor solution, located within the company’s platform, uses device-level signals and DATA to help FIs to create the split-second decisions about transactions. This new solution designed to help FIs, including banks, credit unions and payment service providers (PSPs), combat financial fraud attacks by using contextual data and intelligent risk signals — while together improve the customer experience.

Authentication Advisor is live in the North American and South African markets, with additional releases to follow.

Authentication Advisor brings together the best on risk-based authentication and contextual awareness to create a single, more advanced software-as-a-service solution to help FIs, PSPs and their customers stay protected from current and evolving. banking and card payment fraud threats.

The key difference lies in its ability to use comprehensive, cross-channel intelligence to create detailed user profiles and detect even minimum anomaly. By collecting and correlating live signals from multiple touchpoints across multiple channels, including logins, banking transactions, card-not-present commerce and other digital activities, the system can identify . patterns and behavior in real time which may indicate fraudulent activity.

“The layered approach to collecting and synthesizing data can help bypass some of the more creative ways fraudsters use to avoid detection,” says Oosthuizen.

Relying only on the device’s fingerprinting is not foolproof, he said. Criminals were able to imitate the devices by replaying all the same signals on the device that they collected from actually customer browser. To address that vulnerability, the cryptographic evidence linked to the devices is one of the advanced signals which are FIs reliable and seamless with customers.

Examining the mechanics of Entersekt’s offering itself, Oosthuizen said the company uses a consortium approach to analyze FIs’ data. Authentication Advisor performs transaction analysis in six phases, offering FIs capabilities to collect a wide range of signals, enhancing that with details stored by the bank such as card information, addresses in email and transaction history context. The granularity comes down to whether they’ve made a purchase using the merchant’s category code, whether they’ve traditionally used iOS or Android devices, and even the average dollar amount of their past transactions. The result is a risk-assessed decision with advice that NEEDS profile of the individual consider.

“This all happens seamlessly in the background for every transaction,” says Oosthuizen.

The main benefit is the reduction of false refusals and checkout abandonment, and by extension, for banks, more customers will choose to use the issuer’s card because there is more -an result of that card.

“That’s why we call it Authentication Advisor, to help guide banks and merchants towards offering a more secure, but improved, customer experience,” Oosthuizen said.