94 percent of financial services have experienced some sort of fraud

Tuesday 2 October 2018 10:24 CET | News

A TransUnion study has revealed that 94% of financial services have experienced fraud within the last two years, such as identity theft, synthetic identity fraud or account takeover.

The research also found that 62% of insurance companies reported an increase in soft fraud and 57% have seen an increase in identity fraud in 2017. Additionally, virtually all – 97% – property management companies have experienced fraud in the properties they manage in the past two years.

Exceptional customer experience is critical for most decision makers featured in the studies. Nearly three in four financial services companies said customer expectations influence the methods they use to detect fraud and about two-thirds of insurance professionals agree that the tactics they have in place to weed out fraudsters can negatively impact their good customers.

Executives also lamented that a major problem in fraud prevention and detection is that many fraud solutions lack the flexibility to adjust in real time and that the end user verification process is too complicated, resulting in poor customer experience.

The study that Forrester conducted for TransUnion explored fraud in the financial services, insurance and single and multifamily rental industries. The participants included 465 decision makers from the financial services, insurance and property management industries.

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Keywords: financial services, TransUnion, Forrester, report, identity theft, synthetic identity fraud, account takeover, fraud prevention
Countries: World