4 Steps Your Company Should Take to Detect New Account Fraud

It’s no secret: Companies in every sector lose revenue to fraud every year. A business that is successfully targeted by fraudsters, bots, or organized fraud rings can cost a business a whole lot more than they might even estimate. This means taking the right steps to counter that fraud, like employing effective new account opening fraud strategies, can save your business a whole lot of money. The reality is—many of these strategies can be easy to implement and a whole lot more profitable than you might have guessed. Here are four steps your company can take to effectively detect new account fraud.

Train Your Team on Fraud Risks

Training employees on the risks of some fraud is now fairly standard practice. The unfortunate reality is, however, that fraud attempts are becoming increasingly diverse and sophisticated. They also share similar elements—attempting to gain or exploit sensitive and financially compromising information.

Phishing is a common and well-known example, and employees should know never to provide passwords, PINs, or other important information, regardless of how official an email request may look. And unless links are verifiably from coworkers or management, they shouldn’t be clicked. However, similar fraud attempts can include phone calls, overtures made on social media, and even text messages claiming to be from the boss requesting a password or other information. Simply remind all your business’ employees that CEO and management will never text them for passwords or other sensitive information.

Stay Up to Date on Document Shredding

Ensure that your business stays up to date on document shredding. That especially applies to any documentation that includes potentially sensitive or private information. Documentation pertaining to your business’s bank or credit card information, insurance or medical information, tax records, and so on. Even less sensitive information can potentially be used for new account fraud, so be vigilant.

Invest in Smart Digital Defenses

While fraudsters and fraud attempts have become more sophisticated, so have the digital processes designed to help your business detect them. Look for fraud detection solutions that leverage cutting-edge new account fraud behavioral analytics technology. For instance, there are new account fraud prevention tools that monitor account opening crowd-level behavior.

As a rule, riskier applicants tend to behave differently when opening accounts than legitimate customers do. For instance, they will take longer to add information to fields they should be familiar with or copy and paste information when a legitimate applicant wouldn’t do so. Therefore, the right fraud detection technology can proactively monitor a new applicant’s digital body language for indicators of a variety of threats. That means your step-up systems are alerted when potentially insidious behavior is identified.

Appropriately Recycle Electronic Equipment

Most businesses are now aware that wiping a computer of all its data after use is a privacy must. However, files that have simply been deleted can often be fairly easily recovered. Find tools for permanently wiping the hard drive of your outdated electronic equipment before recycling them. It’s also worth remembering that with smartphones and the internet, it’s a lot more than computers that may now be home to sensitive information. Make a practice of thoroughly removing all sensitive data from your old tech.

About NeuroID

It’s a simple fact of doing business online: Bad actors are always sizing up digital defenses and devising new strategies for taking advantage of vulnerable organizations. Fraudsters develop increasingly sophisticated account opening fraud strategies to pose as genuine customers, slip past old PII-based detection systems, and target your company. But with the power of behavioral analytics tools from NeuroID, you can seize the initiative and detect fraud indicators before criminals have a chance to cheat you. The groundbreaking technology in their ID Crowd Alert™ and ID Orchestrator™ tools analyzes digital body language and pre-submit data to spot risky activity in real time. With the ability to detect fraud rapidly, your step-up verification systems can intervene and effectively protect your organization.

Defend your business against bad actors and fraud at https://www.neuro-id.com/