Online Fraud Detection: Three Recommendations
A guest column by Ryan Wilk, Director of Customer Success. Read the full feature article over at SC Magazine.
October 22, 2014 – Estimates vary on the global cost of online fraud, but they are all in the billions. The 2013 LexisNexis True Cost of Fraud Study reveals that merchants paid more per dollar of fraud in 2013 as a result of an increased proportion of fraud through online channels. Online fraud cost merchants $3.10 for each dollar of fraud losses, and the main contributor to this higher cost is a 36 percent increase in fraud among merchants accepting online payments.
Online fraud costs organizations more every year, in terms of both actual losses and the amount of money paid out to manage it. Fraud managers have the thorny task of safeguarding their organizations and its customers against fraudsters. New best practices in online fraud detection (OFD) have emerged that advocate a “five layer model.” Below are three core recommendations that discuss the latest tools and techniques to ensure maximum fraud protection. [read more]