Fraud Prevention for Mobile Banking Apps

  • Phone Verification

There is no stopping the mobile banking momentum as banks continue to improve their mobile app offerings, enticing customers and lowering operational costs in the process. Currently, more than half of smart phone users have accessed their bank accounts using smart phones. Forrester Research predicts that by 2015 one in five US adults will be using mobile banking, peaking the interests of financial institutions and criminals alike. With the rise of smart phone usage and mobile banking apps there are many threats presented.

Fraudsters attempt to obtain users confidential login information including passwords and personal identification numbers to gain access to accounts and improperly transfer money or commit other fraudulent acts. As a leader of an organization, you need to know how to create and maintain a fraud prevention strategy for mobile banking because mobile is becoming the preferred banking channel for most consumers.

Cybercriminals are progressively coming up with new and innovative ways to target mobile platforms and compromise users data. It is imperative to keep customers information and accounts safe as technology progresses. Financial institutions also need to educate their customers on the many other ways their information can be compromised through their mobile device. From fake banking apps to stolen devices, fraudsters can obtain all of the information they need to commit small or large crimes.

Like any good fraud prevention strategy the key to defending mobile customers is with a layered approach. Identity verification and authentication, drivers license verification and dynamic KBA all contribute to a secure layered strategy. As Internet banking continues to expand into mobile banking, so does the rate of potential fraud. FFIEC guidelines have helped financial institutions guard against online attacks in the past but fraudsters continue to seek new ways to infiltrate the system. Optimizing your strategy with multiple layers of fraud protection is one sure way to protect your customers. EVS can provide complete multilayered fraud prevention solutions designed to prevent mobile fraud against your customers and business.

[Contributed by EVS Marketing]