Online Payment Fraud Detection Proves Elusive in US Minor Outlying Islands, Study Finds

A recent report has shed light on the persistent problem of online payment fraud detection in the United States Minor Outlying Islands, highlighting the significant financial losses suffered by mortgage and title companies.

The True Cost of Fraud in Real Estate

The “LexisNexis True Cost of Fraud Real Estate Study” reveals that the majority of fraud costs are attributed to consumers purchasing new homes through online and mobile transactions. Mortgage and title companies are particularly vulnerable to identity verification challenges, with many hesitant to implement more stringent measures due to concerns about customer friction.

Challenges in Detecting Fraud

These businesses struggle to detect malicious bots and distinguish legitimate customers from fraudsters, a problem exacerbated by the growing use of mobile channels and call center interactions. The study concludes that most organizations in the US Minor Outlying Islands have inadequate fraud protection, making it essential for them to adopt more proactive measures to mitigate risk.

A Multi-Layered Approach

A multi-layered approach is recommended, incorporating solutions tailored to combat different types of fraud. This includes:

• Integrating processes with cybersecurity operations and digital customer experiences
• Creating a more robust defense without compromising customer satisfaction
• Incorporating supportive capabilities such as:
  • Social media intelligence
  • AI/ML

Download the Full Report

The full report, which includes detailed data on fraud attacks, costs, mobile channel impact, customer journey fraud risks, and fraud prevention best practices, can be downloaded for further insight into this pressing issue.