A robust fraud scoring solution is an essential component to a comprehensive fraud prevention strategy. Fraudsters are continuously evolving tactics to target businesses, but fraud scoring can keep one step ahead by detecting new patterns and behaviors. By integrating a phone number profiling solution into your existing fraud prevention workflow, you can ensure that the numbers being used to verify users and processes are legitimate.
In order to detect fraud with phone number scoring, it’s important to have a strong set of rules, including a fraud risk score and data enrichment. Fraud scoring engines evaluate a range of different factors to determine the level of risk associated with a user or payment, such as email and identity checks, device fingerprinting, geographic inconsistencies, and more. Those factors are then passed to the scoring engine, where predefined algorithms assign weighted values and calculate a fraud risk score.
Score Phone Numbers to Detect Fraud Before It Happens
The best fraud scoring solutions also include an extensive list of quality checks to identify high-risk phone numbers and suspicious behavior. These quality checks can help you avoid approving fraudulent transactions and/or declining legitimate ones, which can frustrate customers and lead them to seek other options. For example, lookup services can identify disposable and temporary phone numbers and VOIP services. They can also identify known fraudulent SIM-swapping activity.
Using these features in conjunction with other identity resolution and risk assessment tools can help you quickly detect fraud and protect your business from costly vulnerabilities. Fraudsters often use spoofed phone numbers to take advantage of promotions or steal loyalty points, and they may even try to bypass your two-factor authentication (2FA) with spoofed devices.
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