Connect with us

Hi, what are you looking for?

HEADLINES

One in four banks find it difficult to verify identity of online banking customers

As more than half of banks (59%) anticipate growing financial losses due to fraud in the next three years, the verification of a user’s identity should be taking central stage in the cybersecurity strategies of financial institutions, Kaspersky Lab warns.

According to the latest Financial Institutions Security Risks survey, 24% of banks worldwide struggle with the identification of their customers when delivering digital and online banking services. As more than half of banks (59%) anticipate growing financial losses due to fraud in the next three years, the verification of a user’s identity should be taking central stage in the cybersecurity strategies of financial institutions, Kaspersky Lab warns.

With the rise of online and mobile banking, customers are not only becoming victims of financial fraud, but also a major entry point for attacks on banks’ digital channels.

According to the research, in 2016, 30% of banks have had security incidents affecting banking services delivered via the Internet — with phishing against customers, and using customer credentials for fraudulent activities, as the top contributing factor leading to the attacks.

Banks find themselves in need of security technologies that do not undermine the customer experience: 38% of the organizations surveyed confirm that balancing prevention techniques and customer convenience is one of their specific concerns.

Advertisement. Scroll to continue reading.

“While thinking of different approaches to secure digital and mobile channels, banks naturally avoid putting too much pressure on customers. Online banking should preserve its main benefits: as a convenient way of making financial transactions in seconds. That is why we are working on technologies that help to protect both banks and their customers without adding an extra security routine to the user’s experience,” said Alexander Ermakovich, head of fraud prevention at Kaspersky Lab.

In addition to two-factor authentication and other security procedures used by banks, Kaspersky Lab recommends implementing dedicated solutions that can help to identify whether a person is authorized, without requiring additional actions from the user.

The Kaspersky Fraud Prevention platform accumulates and analyzes user behavior, device, environment and session information as anonymized and depersonalized big data in the cloud. Risk Based Authentication (RBA) assesses possible risks before a user’s login, while Continuous Session Anomaly Detection identifies account takeover, money laundering, automated tools or any suspicious processes during the session.

As a result, the platform provides protection not only at the stage of login, but also during the session itself, while customers do not have extra authorization stages to pass through.

Advertisement. Scroll to continue reading.
Advertisement
Advertisement
Advertisement

Like Us On Facebook

You May Also Like

White Papers

When compared to 2023, Sophos saw a 51% increase in abusing “Living off the Land” binaries or LOLbins; since 2021, it’s increased by 83%.

HEADLINES

Someone illegally acquires or uses personal information such as bank account or credit card numbers of another person to obtain money, goods or services....

HEADLINES

To stay ahead of these challenges, organizations need to invest in AI-driven defenses, transition to quantum-safe encryption, and adopt a Zero Trust approach to...

HEADLINES

There was a 121% Year-on-Year (YoY) increase in identity fraud in 2024 across the region, with significant surges recorded in Singapore (207%), Thailand (206%)...

White Papers

The survey found that CXO’s feel less prepared than their global peers. Less than half or 48% in APAC said they felt completely prepared...

HEADLINES

On average, a single organization in the Philippines experiences 4,003 attacks per week, significantly higher than the APAC average of 2,870 attacks per week.

White Papers

Exploiting this vulnerability, cybercriminals craft deceptively authentic phishing emails that align with current trends, exploiting human emotions to invoke urgency and trick recipients into...

HEADLINES

As the year 2024 draws to a close, cybersecurity solutions provider Fortinet unveiled predictions that expect hackers will leverage as well as trends that...

Advertisement