Biometric Update: Finding the right rhythm for transactions

November 10, 2016 — Finding the right rhythm for transactions

This is a guest post on Biometric Update by Ryan Wilk, vice president of customer success at NuData Security, discussing transactions and cybersecurity.


US regulators are pushing banks and financial institutions to make cybersecurity a priority and with each new risk event, the pressure on banks and financial institutions grows exponentially. Data breaches and cybercrime continues to skyrocket; we will see over a billion accounts breached this year. The 2016 Identity Fraud Study released by Javelin Strategy & Research, finds that during the past six years’ identity thieves have stolen $112 billion or $35,600 per minute. Those statistics are driving many consumers to shun new bank offerings.

That scenario leaves banks and financial institutions squeezed in the middle between increasing regulations, and the need to deliver the convenience and increased functionality of faster payments while cutting fraud and paying to overhaul legacy systems.

For online and mobile environments, financial institutions and merchants should gain continuous visibility into digital identities across the account lifecycle to positively identify good users and detect automation / non-human behavior, coordinated activity (fraud groups/bot nets), and anomalous account creation and transactions.

New innovations like advanced analytics should be used to enhance legacy rule-based systems. One way to do that effectively is to add passive behavioral biometrics, an invisible layer of technologies that can recognize natural behavioral characteristics of individual customers. Due to the integrated and complex nature of these behaviors, they are impossible to duplicate, mimic or steal. An accurate profile of the customer’s online interactions is built and used to detect whether it is the real customer or someone else using their device or credentials.

For the complete article, go here.