‘Stronger’ Strong Customer Authentication Boosts Fraud Prevention
When the pandemic started, people were forced to stay at their homes. No one was allowed to remain outside, whether for leisure or work. Companies that were deemed unessential were also mandated to close down. But around the second half of 2020, people have grown accustomed to staying at home, and businesses have found a way to operate once more. And all that was made possible through the power of technology.
It is not news anymore that technology was invented to make people’s lives easier. It is designed to assist people with their day-to-day needs. And technology truly lived by its purpose. But despite the help technology has given people, it has also brought problems.
Cybercrime is one of the most prevailing crimes that authorities have to battle out—especially today when almost everything can be done online. Cases of hacking, scamming, identity theft, and similar crimes continuously rise, and in response to this threat, tech developers are constantly working to improve fraud prevention. And one way of doing that is by implementing Payment Service Providers Directive or PSD2.
PSD2 aims to enhance the safety and security of online payments, improve the protection of consumer information, and address payment fraud. This directive involves using MFA or multi-factor authentication.
MFA is a more secure verification process as compared to passwords alone. The MFA uses two or more authentication methods to grant access to the user. The most typical MFA method is passwords plus mobile numbers or email addresses. Although this verification procedure is the upgraded version of using passwords, criminals still found a way to breach the systems.
This is where FIDO2 comes in. It is a more robust authentication that uses cryptography and biometrics in granting access to a user. This way, clients can safely log in to their accounts without using a password. FIDO2 also enables users to use delegated authentication where they can log in to multiple apps with one set of credentials.
A secure, private authentication for the future – LoginID is possible as long as technology continues to improve. But also, you have to remain alert for any potential cybercrime. In relation, you might want to read this article by LoginID to know more about the best authentication method to boost fraud prevention.