Mastercard has partnered with Alloy to launch an onboarding solution designed to tackle fraud. Financial institutions and fintech firms are facing continued growth in fraud cases, with recent data showing rising incidents in 2024. A survey from Alloy’s 2025 State of Fraud Report found that 60% of organisations had observed an increase in fraudulent activity last year. In response, 93% of those surveyed said they intended to increase investment in fraud prevention this year, with nearly two-thirds considering adoption of an identity risk solution.
In this context, Mastercard and Alloy have formed a partnership to launch a new onboarding system aimed at financial services providers. The joint initiative is designed to combine identity verification tools and Open Finance capabilities to simplify customer account openings while managing risks linked to fraud and identity theft.
Details of the new collaboration
The integrated solution will incorporate Mastercard’s digital identity verification and Open Finance products directly into Alloy’s platform. This configuration is expected to allow institutions to deploy risk controls more efficiently. Alloy’s system already connects with over 200 identity and risk tools, and the addition of Mastercard’s services will extend this range, offering broader coverage for fraud detection, compliance checks and account funding processes.
According to representatives from Mastercard, the persistence of fraud continues to affect both financial organisations and consumers, making comprehensive risk management essential. Company officials emphasised that the partnership seeks to deliver a more consistent approach to identity assessment across different channels.
Alloy officials added that the collaboration would support a more holistic method of evaluating customer identity. By integrating these checks more thoroughly, they said, financial institutions and fintechs may be able to reduce manual reviews, improve onboarding conversion rates and improve digital experiences while limiting exposure to fraud.
