Two-Factor Authentication: The Newest Trend In Authentication

By now, businesses and consumers have heard of, or even had an encounter with, the newest trend in identity authentication, two-factor authentication. The basic mantra around this new security fad is, something you know and something you have. When authenticating an account a user is asked to enter something they know, such as a password, and is then sent a code via SMS to their phone. Once the user receives the text, they are asked to enter that as the second layer of security and this becomes something you have. Sounds great, right? Well yes, it helps to add an additional layer of security for online logins but it doesnt protect the company or consumer from online fraud as much as one may think.

While this may be a short-term fix for some models, the truth is two-factor authentication isnt going to solve the problem of online identity theft and data breaches. Something you have can very well be stolen and/or hackers will find a way to interfere with this. There have already been cases of mobile malware that render two-factor authentication obsolete. Just like any other fraud prevention technology, as security measures become smarter, so do hackers. If companies solely rely on this type of identity authentication, it wont be long until the code is cracked. By implementing true KBA authentication, security becomes something you know, and something ONLY you know. This takes authentication real-time by presenting security questions that are developed based on your personal information so only the true identity holder can answer correctly. In many cases, fraud prevention becomes a matter of working smarter, not harder. By adding a layer of identity verification and authentication to your security measures you can help prevent online fraud for your company and customers.

[Contributed by EVS Marketing]