The real struggle for fintechs: Fraud vs friction

In the last few decades, technological innovations have played a key role in making online transactions faster, simpler, and secure. Changing customer behavior and needs have led to rapid digital transformations where customer experience and convenience have emerged as key differentiators of a world-class digital transaction experience.

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This reliance on new-age processes has enabled banks and financial institutions to process end-to-end customer onboarding  faster.. However, speedier onboarding still carries the risk of fraud. Whether it is promo abuse where fraudsters try to scam the system by creating fake accounts or by manifesting a fabricated persona to dupe and steal from the institutions, fraud can permeate nearly all areas of a financial transaction. One particular area of concern for financial institutions is the customer onboarding process.

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While checks and balances are needed to keep fraud at bay, to an extent,these have led to the problem of customer churn. Introducing identity proofing solutions where users need to provide documents during sign-up is tedious and discourages them from completing the process, resulting in poor conversion rates, high costs of customer acquisition, and diminished revenue opportunities. 

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To deliver an exceptional customer experience, the onboarding process needs to be as seamless and simple as possible. With Bureau, it is easy to swiftly onboard users while managing fraud prevention and security. Since customers deserve a fast and simple online account opening experience, Bureau helps plug into every step of the onboarding process, securely and quickly.

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With the help of data from user inputs, device, their behavioral history, and digital footprints, Bureau draws up comprehensive risk-gauged profiles for each user and matches them with the details provided by the applicant. High-risk profiles are then flagged for further checks while those with matched-up profiles are granted a smooth onboarding process. Fintechs ensure they get the right users, better conversions, and less fraud, while their customers get a seamless experience.

How to onboard more users with less friction

Bureau's rich micro-signals boost our data engine with robust assessment at every critical interaction to make informed decisions in real-time. While you get the right users, better conversions, and less fraud, your customers get a seamless experience. Bureau helps in:

• Reducing manual reviews and lets good users create accounts online with minimum friction.
• Identifying high-risk users and reduces fraudulent signups before they can abuse the system and bust out.
• Fast-track good users and penalizing the bad ones with additional checks or reviews.
• Automating manual compliance checks without compromising on security.