Enhancing the Customer Experience While Preventing Fraud

Working With The Customer

When customers share their personal information regarding their finances, they expect a certain level of trust and security. A good customer experience can convert more people into loyal clients, but finding the balance between fraud protection and an enhanced experience can be challenging. Asking for more personal information often results in lower conversion rates. Similarly, requiring customers to log in with their bank credentials can cause some to drop off due to the additional steps involved. They may not convert because they do not want to share more details or find the process too inconvenient.

To address this, it is essential to offer clear benefits. For instance, if customers provide their bank account details, forms can be auto-populated for them, saving time and effort. Additionally, offering better rates and bonuses for sharing information can make the process more appealing, as it highlights the value they receive in return.

When creating a customer workflow, it is important to estimate the potential reduction in fraud. If a fraud solution prevents only 5% more fraud but decreases the conversion rate by 20%, it may not be worth implementing. Customers value an easy, non-invasive experience as much as they value fraud protection, especially when they may not understand the reasons for requesting specific personal information. It is more practical to design a workflow that begins with fraud detection solutions that do not require customer interaction and then move to credentialed solutions if necessary.

Here’s An Example

When utilizing a fraud solution to verify a bank account, if the consumer does not pass the non-credentialed fraud filter, they can be transitioned into a credentialed process where they connect to their bank account to verify their identity. This approach ensures that if they drop off at the first filter, they would have been lost anyway. However, this method provides an additional opportunity to convert them, thereby increasing the customer base and reducing risk. Furthermore, it presents them with another chance to receive the financial assistance they need.

Communication Is Key

To enhance the customer experience, it is essential for them to feel protected and recognize the value they are receiving. Explaining why certain information is required and how it benefits them can be beneficial. While their questions and concerns may seem minor, they want to understand what is being done with their data. Customers may not have as much information regarding their fraud protection, so it is important to take the time to address their questions and alleviate their fears if necessary.

Being transparent and honest when they contact the company fosters trust and creates a bond. Customers will be more willing to engage when they know the company is trustworthy.

Fraud Protection

Fraud is a complex and multi-layered issue, especially when opening an account, onboarding, or transacting payments digitally. Therefore, fraud prevention should have just as many, if not more, layers. Utilizing multiple solutions and overlapping their findings is always more effective. Each solution excels in different areas, so using several helps prevent gaps in the data. This is why offering a variety of solutions to decrease risks and increase coverage is essential. Depending on specific needs, these solutions can be integrated seamlessly and work well with other providers.

A Positive Customer Experience

For assistance in preventing fraud and enhancing the customer experience, contact us. Our services help navigate the complexities of financial risk and fraud mitigation. We are available to answer any questions on customer awareness or fraud management.