September 27, 2011 Electronic Verification Systems (EVS), a leader in fraud prevention
solutions and id
verification systems, offers knowledge-based
authentication (KBA) to businesses to comply with the Federal Financial
Institutions Examination Council (FFIEC) guidance Authentication in an Internet Banking Environment.
of the increase in online fraud, the FFIEC instated this guidance for
businesses that do online banking or transactions as an extra security layer to
protect consumers. Knowledge based authentication exists in two forms: static
KBA occurs when a consumer chooses from a list of pre-determined questions and
provides the answers to them. Due to the use of social media, and the personal
information provided on them, someone with fraudulent intent can easily answer
more secure type of KBA is dynamic KBA. The questions are not predetermined and
do not rely on information that is often publicly available. Because of this,
it is much more difficult for a person with fraudulent intent to answer these
types of questions correctly. Dynamic KBA is also known as out-of-wallet
authentication question systems usually require the consumer to correctly
answer more than one question, and they often include a red herring question.
The red herring question is designed to trick a person with fraudulent intent,
but the consumer will know the question is not relative, or none of the answers
are related to them.
As part of the IdentiFraud
Consumer+ solution, EVS provides dynamic KBA questions to their clients for
a seamless id verification solution. The IdentiFraud Consumer+ solution
includes an Authentication Question Generator and Advanced Residence
Verification and History, which confirms the customers current address and
also provides the customers previous 12 addresses.
Many companies use
KBA questions when the primary logon authentication technique is inoperable or
presents an unexpected characteristic. An example of this is the user cannot
remember their password and has reached out to reset their password. To confirm
the person is who they say they are, the business will then implement KBA questions.
After the clients identity has been confirmed through the KBA session, the
business can then reset the password.
If you are
interested in learning more about the IdentiFraud Consumer+ fraud prevention
solution, please contact us
for a live demonstration.
Verification Systems is a leading provider of fraud prevention services
designed to help businesses combat identity theft, control costs, satisfy
governmental regulation, and support audit and control requirements. With major
clients in the financial services, retail product, brokerage, education,
insurance, and corporate security industries, Electronic Verification Systems provides
powerful and innovative solutions to businesses and organizations across the