Consumers demand fraud prevention systems

Many companies still have not adopted fraud prevention and ID verification strategies, even as the threat of compromised data continues to rise. Consumers, however, appear to be showing greater demand for fraud prevention and data security systems. According to a survey released this week by Accertify, consumers feel more vulnerable to fraud online than they do in conducting in-person transactions. Still, nearly nine in 10 respondents - 88 percent - regularly make a purchase or conduct a financial transaction online. However, a lot of businesses employ out-of-date or overly complex fraud protection programs. More than one-quarter of consumers - 28 percent - claim they have encountered a fraud protection system that unnecessarily delayed or denied their transaction. "Merchants with inflexible fraud prevention technology or who manually review every suspect transaction end up delaying and denying legitimate transactions," said Jeff Liesendahl, a vice president at Accertify. "Therefore, it is critical for merchants to have a fraud prevention solution that automates and prioritizes transaction screening and is fully customized to each merchant." The growing threat of ID theft is also a concern among consumers and businesses alike, further highlighting the value of ID authentication.