buguroo adds behavioral biometrics checks to bugFraud to prevent banking fraud
buguroo has equipped its anti-fraud solution, bugFraud, with enhanced new account fraud prevention features, including behavioral biometrics checks, to prevent fraudulent bank account onboarding, the company announced.
The new tool will help financial institutions detect fraud attempts by leveraging advanced deep learning techniques to investigate customer onboarding in real-time.
Fraudulent activity is 15 times more likely to arise from new accounts created in the past 30 days, reports RSA Security, and even though new account fraud levels are still low, it is hard to detect and it represents 48 percent of total fraud value.
To open new accounts to borrow money or for money laundering, fraudsters first have to steal Personally Identifiable Information (PII). bugFraud can be deployed either as a standalone solution or combined with anti-fraud checks such as ID documentation verification or physical biometrics.
New features include user environment analysis, which evaluates geolocation, device and network data and reputation to verify identity, behavioral biometrics checks that closely monitors the onboarding process by comparing detected behavior against known fraudster patterns, and contextualized detection techniques that banks use to find similarities and discrepancies in behavioral patterns of not only legitimate users but also of fraudsters.
“New Account Fraud is growing in popularity with cybercriminals because they know banks find it difficult to spot and stop; some banks even turn a blind eye to it, because they’re worried that anti-fraud checks will slow down the new customer onboarding process to the point when customers will give up,” said Pablo de la Riva, founder and CEO, buguroo. “However, the rising cost of new account fraud means banks can no longer ignore the problem. Our new capabilities have been designed to accurately identify fraudsters in real-time, helping banks avoid these losses without impacting the experience of their valued customers.”
The new features are already available in bugFraud that scans for fraud attempts during the customer journey in digital banking channels through device assessment, advanced malware detection, and behavioral biometrics.
In November, buguroo secured $11 million in Series A funding to advance its deep learning technology for online fraud detection and prevention, and expand global marketing and sales operations, following successful growth in Europe and Latin America.