CIO Bulletin

BioCatch – Delivering advanced fraud protection through innovative device analysis and behavioral insight

Behavioral biometrics analyzes the way a person interacts with their mobile device, such as how they hold their phone or how fast they type. As a result, behavioral biometrics creates a pattern of behavior that is unique to a person. In contrast to active methods of authentication, such as a face scan or a PIN, behavioral biometrics is considered passive because they do not require any additional action from the customer, which improves their digital banking experience. It is important to distinguish between behavioral biometrics and physical biometrics even though the reasons for using them are similar. Biometrics measure a person’s unique physical characteristics to verify their identity and could include a fingerprint, face recognition, palmprint or palm veins, iris or retina recognition or hand geometry.

BioCatch is the leader in Behavioral Biometrics which analyzes an online user’s physical and cognitive digital behavior to protect individuals and their assets. Its mission is to unlock the power of behavior and deliver actionable insights to create a digital world where identity, trust and ease seamlessly co-exist. Leading financial institutions around the globe use BioCatch to more effectively fight fraud, drive digital transformation, and accelerate business growth. With over a decade of analyzing data, over 60 patents and unparalleled experience, BioCatch continues to innovate to solve tomorrow’s problems.

BioCatch was founded in 2011 to address next-generation digital identity challenges by focusing on online user behavior. Today, customers around the globe leverage BioCatch’s unique approach and insights to more effectively fight fraud, drive digital transformation and accelerate business growth. Behavioral biometric technology is a key strategic capability to protect our customers from the risk of fraud. BioCatch is a leader in this space and HSBC is looking forward to strengthening its partnership through this investment and through its role as part of the company’s newly formed Client Innovation Board.

Providing Industry-Leading Behavioral Biometrics Solutions

Account Opening Protection: BioCatch Account Opening Protection generates advanced behavioral insights to provide you with the real-time visibility you need to detect more fraud, introduce less friction, and acquire more customers. Through innovative research, a decade of data, and proven results, BioCatch risk models analyze a user’s physical and cognitive digital behavior to distinguish between genuine users and criminals in order to detect fraud and identity theft and to improve customer experience. BioCatch data science and innovation teams continuously monitor emerging fraud trends to ensure organizations are protected against tomorrow’s threats. BioCatch partners with leading financial institutions to deliver customer-first solutions. By profiling user behaviors such as mouse movements, typing cadence, swipe patterns or device orientation, the BioCatch platform, powered by machine learning, identifies statistically observed norms for “good” and “bad” behavior. By leveraging BioCatch proven and advanced risk models, the bank was able to start detecting account opening fraud immediately. Unlike other fraud prevention solutions, BioCatch Account Opening Protection is effective as soon as deployed and does not require a lengthy learning period. Even during a global pandemic, this top Asia Pacific bank was able to fully deploy and realize value from the BioCatch platform in just weeks.

Account Takeover Protection: BioCatch Account Takeover Protection generates advanced behavioral insights to provide you with the continuous monitoring you need to detect more fraud, increase customer trust, and reduce false positives. BioCatch risk models leverage innovative research and a decade of data to continuously monitor web and mobile sessions and expose a broad range of account takeover threats that legacy fraud prevention controls miss. Mule accounts play a pivotal role in determining the success of an account takeover attempt. If criminals do not have a mule account to send the cash from a fraudulent transaction or payment, they will not achieve their goal. Not every mule account is equal and understanding how they operate requires a deep understanding of digital behavior and account patterns. Behavioral biometrics unwraps the complexity to help financial institutions identify mule accounts earlier and reduce operational costs and risk exposure downstream.

Social Engineering Scam Detection: There has been a major shift in the global cybercrime landscape from traditional fraud-based tactics to scam-based tactics. The lack of consistent frameworks for defining and measuring fraud losses from social engineering scams has paved the way for potential disruptions in the form of increased regulatory pressure and deterioration in consumer sentiment.. BioCatch analyzes user behavior in real-time to detect when an individual is conducting a transaction under the influence of a cybercriminal, helping banks to protect customers from social engineering scams and authorized push payment fraud. BioCatch provides financial institutions with immediate behavioral insights that indicate a social engineering scam is in progress, helping to prevent significant losses and better protect their clients and assets.

Inherence Analysis for Psd2 Strong Customer Authentication (SCA): Even the largest businesses struggle to manage continuous technology changes, evolving financial crime, and regulatory compliance requirements. Deploying a layered approach, where automation and new technologies are used to enhance or remodel existing processes, will free staff to concentrate on adding value to accelerate online commerce and deliver the digital experiences that consumers expect. BioCatch inherence analysis for PSD2 strong customer authentication enhances your existing compliant solution by adding more security and eliminating unnecessary customer friction. PSD2 Strong Customer Authentication (SCA) has reduced payment fraud rates, but at what cost? Access the latest report from Goode Intelligence which examines how customer experience and transaction declines and abandonment have been impacted by SCA compliance and what can be done to comply and thrive in a post-PSD2 world. By adding a long-term memory field, BioCatch can determine whether the behavior displayed when entering data is more likely to be that of a genuine customer or a fraudster. To secure the payment even more, a customer profile is formed, and all data entry sessions can be compared to how the data is typically entered by the genuine customer. This extra level of protection on top of OTP entry analysis increases security, enables a smooth customer experience, and minimizes payment abandonment.

The Leader behind BioCatch's Success

Gadi Mazor is the Chief Executive Officer of BioCatch. He acts as BioCatch's fearless leader, based in Tel Aviv, he can often be found collaborating with teams and customers worldwide. Gadi has a mission to develop and deliver innovative fraud solutions for financial institutions globally.