95% said biometrics—fingerprints, facial recognition, or voice recognition—are the most secure way to secure internet accounts. Despite this overwhelming support, only 28% of UK businesses use biometric checks, compared to 58% of US businesses.
GBG, a leader in global digital identification, has issued a warning about the industrialization of fraud in the UK. In the previous 12 months, known or suspected fraud attempts were reported by 40% of UK businesses, according to the study. Nearly half (49%) of organizations worldwide that reported fraud attempts claim that they have increased during the past 12 months.
At the same time, 63% of smartphone owners are concerned that online thieves may be able to purchase their personal information, including names and/or bank account numbers. Additionally, almost 90% of smartphone owners (88%) worry that they will someday fall victim to fraud. More over half (53%) concur that the cost-of-living problem has increased their anxiety about being a victim.
Less than half (47%) of individuals who had been the victims of fraud reported it, with more than a quarter (26%) actually cancelling their account. Only 3% of fraud victims did not take any action after their encounter, while 23% claimed compensation.
Over eight out of ten respondents (82%) concur that it is the responsibility of the company they do business with to protect their personal information, but more than half (54%) believe that creating new accounts on their smartphones is only “somewhat secure,” and 11% think it is not secure at all.
Biometric is widely trusted
95% of those polled said using biometrics—fingerprints, facial recognition, or voice recognition—to increase the security of online accounts is the most secure strategy. Despite this enormous show of support, only 28% of UK businesses currently utilize biometric checks, compared to 58% of US businesses.
“The UK is witnessing a rapid industrialization of fraud, and far too many people and businesses are having to deal with the absolutely devastating impact of shady fraudsters taking advantage of any vulnerability they find,” said Gus Tomlinson, chief product officer identity and fraud at GBG.
“As a result, we are observing a rising level of familiarity with biometrics because this is a technology that is now very visible. The use of biometrics in the ongoing battle against fraud and scams is already evident all around the public. What we can accomplish with biometric technology in the mix is hugely reassuring, but biometric technology cannot beat fraudsters on its own. It must be integrated with both visible and non-visible fraud defences.
Artificial fraud is thought to be the largest risk to enterprises
Nearly a quarter (24%) of UK businesses surveyed for the GBG report believe that over the next three years, synthetic fraud will be their largest fraud risk. Synthetic fraud is a rapidly expanding type of fraud in which a con artist creates a new identity by mixing actual (often stolen) and fabricated information in order to pass themselves off as legitimate consumers and receive products and services illegally.
“Customers are increasingly looking for proof that their identities are protected and that precautions are being taken to prevent fraud,” says Gus Tomlinson in his conclusion. There are many things that businesses can do to foster trust and employ identity verification to secure themselves and their firm, even leveraging it as a competitive advantage. More and more customers are choosing security above speed when opening new accounts.
