Fraud dates back as far as 300 B.C., when a Greek sea merchant named Hegestratos took out a sizable insurance policy on his ship and cargo. Through the policy (known as a bottomry), he borrowed money and agreed to pay it back with interest when he delivered his cargo – which was corn.
Hegestratos, however, carried less-than-honorable intent when making the arrangement. His plan was to empty his ship of the corn and then sink it so he could sell the corn while also keeping the loan – effectively doubling his profit. But alas for Hegestratos, it didn’t go as planned or end well. The crew and passengers caught him as he tried to sink the ship, and he drowned while attempting to escape.
Since then, fraudsters and thieves have continued to flock to where the money is. For example, in the historic US ‘Wild West’ and into the 20th century, they focused on stately banks in towns and cities, where massive amounts of cash were stored in vaults. In the second half of the 20th century, they turned to paper checks and both debit and credit cards. Now, in the digital age, their “faceless” fraud schemes leverage online commerce and interactions to steal cash and valuable personal information.
In his recent white paper, fraud prevention and financial crime expert Mark Tingey provides historical, modern and forward-looking insights into the evolution of fraud – and how banks, corporations and other institutions can best protect themselves and their customers through behavioral biometrics. Currently an independent consultant, Mr. Tingey has represented the Royal Bank of Scotland (RBS) Group and Metro Bank at numerous industry committees, including Mastercard, Visa and UK Finance. In 2018, he was invited to join the Payment Services Regulator-APP Scam Steering Group, which designed and implemented the Contingent Reimbursement Model Code for Authorised Push Payments scams. More recently, he represented Metro Bank at the Treasury Select Committee’s Economic Crime Inquiry for the UK Government.
In the paper, Mr. Tingey also reveals the wide range of creative ways in which criminals plot to separate consumers and companies from their cash, such as:
The technically sophisticated nature of crime today demands a technically sophisticated response, and Mr. Tingey contends that ongoing advancements in behavioral biometrics are rising to this standard. “(Behavioral biometrics verifies) the genuine customer through their unique behavior allowing them to transact freely and quickly with minimal friction,” he writes. “Knowing the genuine customer’s behavior enables fraud teams to more quickly identify the difference between genuine customers and fraudsters, and between legitimate engagement and financial crime.”
BehavioSec has emerged as a global leader in behavioral biometrics. Its intuitive technology establishes profiles for individuals based on their typing patterns, touchscreen activity, cursor movements, etc. The solutions accurately and seamlessly authenticate users “in the background” without the need for vulnerable passwords, proprietary hardware or tokens – freeing them from taking multiple, tedious security “steps” and thus ensuring more positive customer experiences.
As a result, BehavioSec enables financial organizations to effectively address the following top requirements of modern fraud detection, prevention and response, as presented in Mr. Tingey’s white paper:
At BehavioSec, we are honored to present Mr. Tingey’s white paper and hope you enjoy reading it. At the same time, we are dedicated to helping organizations effectively respond to fraud by achieving an entirely proactive, accurate and frictionless state of authentication that doesn’t arrive at the expense of positive customer experiences. If you’d like to know more about what our behavioral biometrics solution can do for you, please contact us.