Fraud is always evolving. Beyond the hack in its rawest form — breaking into systems or hardware to steal individuals’ personal data — criminals are using their wily ways to manipulate consumer behavior.
And the weapons by which bad actors manipulate their unwitting victims into giving up personal information or handing over money outright are proving to be varied as well, stretching across email and text messages and even the old-fashioned phone call.
In an omnichannel world, merchants and financial institutions must be vigilant and watchful across commerce conduits. Of course, omnichannel means omniscience is out of the question, but firms can use behavioral analytic technology, such as machine learning and artificial intelligence, to gain real-time insight into whether consumer behavior merits suspicion.
In an interview with Luke Reynolds, chief product officer at Featurespace, the executive noted that fraudsters have historically been silo-based in their approaches – focused, for example, on cards or credit and debit accounts.
“What we are seeing more now is that fraudsters are pivoting across channels, to mobile telephony, online or still through point of sale,” he told PYMNTS.