Equifax Inc. (NYSE: EFX) announced the launch of FraudIQ Identity Score, a solution that helps organizations reduce fraud losses without compromising customer experience. Fraudsters are engaging in account fraud at an increasing rate, opening new accounts with stolen or synthetic identities. Javelin Strategy & Research estimates that new account fraud will rise to a projected $8 billion in annual losses by 2018.
Fraud attempts are increasingly sophisticated and often cannot be countered with simple methods, however intrusive fraud detection interferes with the customer experience. As organizations struggle to balance priorities, FraudIQ Identity Score provides insights that detect suspicious patterns and better determine that customers are who they claim to be with less interference in the customer application process.
The analytics-based solution also includes custom scoring based on organizational objectives and uses Equifax keying technology to validate components of an identity to help decrease the occurrence of false positives.
FraudIQ Identity Score helps address the following organizational challenges:
- Loss of revenue from consumer abandonment due to onerous verification processes
- High levels of manual reviews that increase customer acquisition costs
- Potential business and legal risks from rising identity fraud rates
- Increased false positive alerts which makes efficient deployment of resources difficult
- Reputational risk due to increased fraud and customer dissatisfaction
‘In today’s fraud environment, businesses need to make informed, quick decisions when verifying new customers,’ said Gasan Awad, Vice President, Identity & Fraud Product Management at Equifax. ‘This solution provides the analytics needed to support the fraud detection systems organizations already have in place, and helps achieve efficiencies, reduce customer friction, and satisfy legitimate customers.’