Identity authentication is a component of identifying identity fraud risk. Advances in technology through fingerprint biometric services have lead to biometric verification becoming a potential tool in identity verification.

What is identity authentication? The authentication process involves validating the identity presented is the actual person. It goes further than typical identity verification and seeks a confirmation that the person presenting the ID accurately is the person being represented by the ID.

Beyond Paper Identification:

The problem with paper identification is it is not tamperproof. Efforts have been made by states to increase security of state-issued ID cards; however, those looking to perpetrate fraud have been able to keep up with the technology changes. How can you keep up with a criminal element dedicated to staying one step ahead of paper identification cards? The answer, you need to change the identity verification process to an identity authentication process.

Examine the below identity verification system. If a system was able to achieve the below, what would the result be for potential identity fraud risk?

- Electronically capturing photo IDs.

- Detecting false or tampered IDs.

- Connecting IDs to fingerprints.

- Verifying identity.

- Automatically verifying age.

- Retaining comprehensive transaction history.

The above demonstrates the need for comprehensive identity authentication systems to help mitigate identity fraud risk. A secondary requirement becomes apparent when you look at the steps required by comprehensive identity authentication systems–the need for speed of validation. As a result the system needs to be both accurate and efficient. How can this be achieved in point of service situations?

Multiple Verifications Mitigate Identity Fraud:

There is a statistical assumption that the more verification checks performed, the better your chances are that you are mitigating identity fraud risk. To perform multiple verifications will require an additional expenditure of time. To keep the process of identity authentication accurate and efficient, what verifications checks need to be performed? In the previously list there was an item called “Connecting IDs to fingerprints,” this verification action can help hold the key to identity authentication.

Connecting IDs to Fingerprints, the Role of Fingerprint Biometric Verification:

Advances in fingerprint biometric technology have resulted in the ability to conduct biometric verification. TrueID from ChoicePoint has the ability to capture and link a fingerprint to a single ID record. The result is a mitigation of identity fraud risk and fraud risk resulting from an individual attempting to use multiple identities.

Fingerprint Biometric technology provides identity resolution, or the ability to match one person to one identity. The ability to find identity fraud patterns also prevents individual users from making multiple ID fraud attempts. A final benefit of fingerprint biometrics is that the fingerprint images are stored and available to law enforcement and prosecution of identity fraud suspects.

Uses of Biometric Verification:

The ability for fingerprint biometrics to connect a single fingerprint to a single identity becomes desirable in various business applications. Biometric verification can mitigate identity fraud risk by linking a fingerprint to a single stored identity. This technology becomes desirable in situations where high security is required for identity authentication prior to new business being conducted. Applications such as opening a high-value new account or authenticating an identity through repeat transactions illustrate the need to implement biometric verification.

Identity fraud is a crime that costs all of us. As measures have been increased in recent years to mitigate identity fraud, so too has the level of sophistication of the fraudulent acts. Persons that were dedicated to committing fraud had the upper hand for some time, but technology is now catching up to these predators.

Identity Authentication Goes Digital:

Like many forms of communication, a transition is occurring to move paper records to a digitally stored format. Paper identification methods had a downside of being open to tampering. For a while predators where keeping pace with advances in paper record security, in particular home office technology allowed the criminal element to keep up with changes in state-issue ID cards. To stay ahead of criminals seeking to commit identity fraud you need to have an ID authentication process in place. Moving from a dependency of paper to a streamlined digital system is one way identity fraud risk patterns can be identified and mitigated.

The Case to Move Away from Human Error:

Paper forms of identifying a person rely heavily on the skills and ability of a human to identify potential fraud and risk. Training personnel can help with fraud caused by paper records, but there is still an accepted level of human error that is permitted. By placing less reliance on humans to perform an ID check and more reliance on digital technology, the human error factor is reduced and higher efficiency rates can be achieved.

The Case to Move towards Digital ID Authentication:

Moving away from a paper-based identity verification system to one that is digital is a matter of accuracy. By providing your customers with a digital form of identity authentication you are providing better customer service and an added benefit of lower costs because the digital system through increased accuracy can further reduce costs that are passed on by identity fraud. Moving towards a digital ID authentication system means the addition of hardware and software can replace the human error factor that occurs by human-only verification.

The Case to Utilize Fingerprint Biometrics:

Fingerprint biometrics are a leading digital technology that can be utilized in digital identity authentication. Those in a point of service setting that use fingerprint biometrics do so by scanning a customer’s ID through a system and instructing the customer to use a keypad to match fingerprints with a stored fingerprint identity. Fingerprint biometrics help increase the chances that the person in front of you presenting an ID is that ID’s true identity. The result is an ability to capture and link fingerprints to a single ID record, which will increase fraud prevention and help ensure fraudsters do not attempt to use multiple identities.

The Case to Implement Biometric Verification:

Those in a point of service setting pay for fraud twice, once stemming from the initial act of fraud and a second time as a result of cost of goods, services and even insurance rates increases. Biometric verification can help resolve the problem of ID fraud and provide the point of service person that the customer presented is the actual person represented on the ID. The benefit of a biometric verification is that legitimate multiple IDs can be linked to a single person through one unique biometric fingerprint records. The additional benefit is that this unique biometric fingerprint can not be utilized in multiple fraudulent IDs.