Truth #2: You will need to do more to fight fraud, do it better, and do it faster
You may feel as if you’re being asked to deliver what seem like contradictory outcomes.
On one hand, you’re supposed to put resources toward continually improving your CU’s overall member experience. But you’re also supposed to spend money to implement more effective fraud-prevention measures.
Or perhaps you have a goal to maximize transaction efficiency and minimize transaction friction. But what if you’ve also been told you need to increase your account acceptance rates and reduce authentication errors. It’s tough to do both at the same time.
And, when you’re already overwhelmed by data sources and one-off solutions, conflicting goals like these can seem almost impossible to accomplish. For example, existing fraud prevention systems can’t simultaneously improve the member experience without also increasing the risk of fraud and authentication failures.
To make matters worse, it’s hard for you to know where to put your emphasis first. According to a 2018 Forrester report, the areas where financial institutions perceived the greatest fraud risk were split fairly evenly across:
- New account opening
- Payment systems
- Fraudulent account takeover
The trick is to adopt a solution to simultaneously improve the member experience, reduce transaction friction, respond actively to today’s fraud threats, and anticipate tomorrow’s emerging threats.