Trends in Call Center Fraud

Operating a business that works in a customer-not-present environment has its challenges, especially when it comes to validating that the customers are who they say they are. From new enrollment, to changing account information, to completing transactions, call centers are often the first and, in many cases, preferred point of contact for customers wanting do business with an organization.

However, call centers are also targets for fraudsters looking to gain access to legitimate customer accounts. While identity verification measures are in place to speed up authentication for legitimate users, enhanced solutions are needed to ensure that fraudsters impersonating customers are unable to access products and services.

What Is Call Center Fraud?

Call center fraud occurs when criminals contact an organization’s call center pretending to be someone they’re not. For example, fraudsters may navigate through a call center’s automated filtering system to reach a customer service representative, who they trick into granting account access. This can be done using information learned about an account holder as the result of a data breach or personal identifiable information available online or it can be accomplished by a fraudster misleading a customer service representative with stories of hardship in order to gain information and access.

Not surprisingly, call center fraud is on the rise. According to a recent study by Pindrop Security and as reported by American Banker, there has been a 30% increase in phone fraud among financial institutions since 2013.

Who Is a Victim?

While fraudsters attempt to infiltrate every industry and multiple organizations within an industry, any customer can become the victim of call center fraud. Criminals can obtain the information they need to access an account through a number of tactics, including email phishing and utilizing information that an individual posts on an online profile. Armed with personal information about an individual, fraudsters can then try to create a new account in someone else’s name or even take over an existing customer account.

How Can Call Center Fraud Be Prevented?

Call center fraud can be prevented when organizations are able to quickly and accurately identify callers. IDology’s ExpectID solutions offer businesses a safe, non-intrusive way to complete age and identity verification while also driving revenue and improving the overall customer experience. With a system tailored to the unique needs of the call center environment, agents are able to instantly process verifications without losing productivity or lengthening call times.

The ability to complete the authentication process in real-time with multi-layered verification methods deters fraud while making it easier for legitimate customers to access products and services. Learn more about using IDology’s ID verification and fraud prevention solution in a call center by contacting a representative today at (866) 520-1234.

WEBINAR

BALANCING FRICTION AND FRAUD: Insights from the 2nd Annual Consumer Digital Identity Study

Featuring Christina Luttrell and Eric Leiserson as presenters

May 23 at 2:00pm EDT

NEW RESEARCH

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SECOND ANNUAL CONSUMER DIGITAL IDENTITY STUDY