Identity theft is scary for both financial institutions and their customers-and it's on the rise. In 2017, cybercriminals spoofed the identities of 16.7 million consumers and stole $16.8 billion. The perpetrators are increasingly sophisticated and use cutting-edge technology tools to gather the data they need to bypass the normal controls that financial institutions rely on to authenticate customers.
The de facto standard for consumer identification and verification for financial institutions has been multifactor authentication using SMS text messaging to a mobile device. Consumers have been conditioned to accept multifactor authentication, and most welcome it as a way to keep themselves safe from cybercrime.
However, cybercriminals are increasingly exploiting mobile devices, making it risky for financial institutions to rely only on multifactor authentication. SIM swap, phone porting, and call forwarding are now common ways for fraudsters to make it appear that they are calling or texting from the number matching, for instance, an existing credit card account.
Watch this video to learn how financial institutions are using "unstealable" device data elements to detect fraud while reducing consumer friction.