Identity & Fraud

  I’m the Head of Utilities in Experian’s Energy and Water Sector. I handle a very specialized form of fraud called “energy theft,” where an individual or business steals electricity by tapping a line or bypassing the energy meter. Back in 2010, the process for handling this type of fraud was broken. Few companies bothered investigating instances of theft; they just accepted the pervasive issue as a cost of sale. This fraudulent activity was costing energy consumers approximately £30 per year, while putting countless homes and offices at risk, since faulty wiring for gas and electricity often leads to house fires or even explosions. Energy regulators decided the time had come for energy providers to crack down on the practice. My team and I at Experian were invited to a consultation to discuss how to use data and innovative techniques to end energy theft. The model we suggested was adopted as the preferred approach, and in the last year the project has been implemented across the entire industry in the UK. Our model combines data from the big energy companies with Experian’s own database to identify which residential or business properties may be stealing energy from the network. We can determine this by comparing energy consumption trends with information on how many people actually occupy the property. With both data sets, we can determine the amount of energy we believe the property should be consuming. If the energy consumption is lower than it should be on a particular piece of property, we look at fraud and credit data sets to see if the case qualifies as a genuine instance of low consumption (such as an older woman living alone), or if someone is perpetrating theft. We send that information back to the supplier so they can prioritize it for investigation. Through this program, I’ve helped protect countless homes and saved consumers from having to pay for energy they’re not using. I love that what I do not only gives me the opportunity to be creative in how I use data, but also helps protect businesses and everyday people. Read more #ExperianStories from our colleagues around the world.    

I lead Experian’s EMEA Procurement team, where I work with Experian’s offices around the world when they begin implementing new projects or product ideas. I was recently asked to work alongside Experian’s Consumer Business in the United Kingdom as they prepared to launch Experian’s CreditExpert companion app. They wanted to enable consumers to access their credit reports on a mobile device, while also being able to access personalized tips on how to improve credit scores. The part of this project that I found most critical, however, was the app’s built-in web monitoring tool that proactively protects consumers’ online identities from fraud. Protection of personal data is a hot topic in the big data industry. As my team and I worked through the challenges associated with protecting our customers from identity theft and fraud, we brought in experts from other Experian functions — like our security team — to assess the tools we were using and help us put proper measures and protocols in place that would enable us to protect consumers using the app. With the launch of this new app, we can catch cases of fraud the moment they occur. So, if someone steals an individual’s information to take out a loan or a mortgage in their name, we send out an alert right away to the affected individual, encouraging them to log on to the application to review their account activities. If fraud has occurred, the app takes the hassle out of the equation for consumers. Our team will investigate the incident on their behalf. I am proud to work for a company that continuously develops new products and services to help consumers better understand their credit and to keep their financial futures and identities safe. Read more #ExperianStories from our colleagues around the world.

I’m an IT Trainee at Serasa Experian. I research and identify ways to solve the challenges facing financial technology (fintech) organizations in Brazil, including fraud. Fraud is a prevalent problem that makes loans expensive and application processes time-consuming. I’m working to help fintechs, like online lenders, give their customers more affordable loans without risking fraud. One particular fintech wanted our help to offer cheaper credit to people through online lending. The problem was they weren’t relying on any bureau data or automated processes, which made verifying identities and credit scores difficult. They relied on face-to-face conversations and a manual paperwork reviewal process, which was both expensive and tedious. Not surprisingly, they were having significant issues with fraud. My team came in and provided a scoring system for credit reports and a fraud protection tool that Experian had developed. Now when an individual applies for a loan through the lender’s mobile application, Experian runs the credit score for them and verifies that person’s identity. This process is not only faster, but it has significantly decreased their cases of fraud. Because this fintech can now obtain more accurate credit scores for its applicants, it can offer loans to more customers who genuinely need them, while lowering costs. I take pride in knowing that the work I do is making an impact on my country’s economy and helping people get the financial access they need at a fair price, faster. Read more #ExperianStories from our colleagues around the world.

Today, Experian’s global Fraud and Identity business released its analysis of client transaction data from the 2014 holiday season, showing an 80 percent reduction in the number of manual reviews among online merchants using the company’s fraud and identity products and services compared with the industry average. These results and other observations indicate that a customer-centric approach to fraud prevention would be more effective for many online merchants, leading the company to recommend five best practices for online merchants preparing for the 2015 holiday season.

At the start of the Vision 2015 Conference, Experian® announced a new dedicated enterprise Fraud and ID business in North America. This newly established business unit allows Experian, the leading global information services company, to more aggressively address the growing variety of fraud risk and identity management challenges businesses, financial institutions and government agencies face.

Experian hosting Future of Fraud and Identity event during National Cyber Security Awareness Month Costa Mesa, Calif., Oct. 13, 2014 — Identity and fraud concerns are a pressing global issue for many industries, including financial services, public sector and retailers. With the rise in security and data breaches, many organizations across the United States are particularly challenged, due to the growth of malware viruses, mobile-payment advancements and the need to authenticate online and mobile consumers better. To help business leaders address these rising fraud and identity issues, Experian® is hosting the Future of Fraud and Identity event on Oct. 21 in New York City, N.Y. The event will feature: Ori Eisen, Experian fraud expert and founder of 41st Parameter, highlighting the current trends in cybersecurity and how technology can combat these major threats Frank Abagnale, of Catch Me If You Can fame and respected authority on financial crime and fraud, sharing his personal story highlighting his work with numerous financial institutions over the past 38 years Charles Chung, president of Experian Decision Analytics, a global leader in fraud and identity products, opening the event Jon Jones, senior vice president of fraud and identity for Experian Decision Analytics, presenting Experian’s strategic view on identity risk management Many organizations are trying to address fraud risks while adapting to the changing habits of customers. One example of this is the acceptance of new mobile-payment options that are driving a transformation of the payments ecosystem. Current mobile-fraud trends include the use of increasingly sophisticated malware as attackers capitalize on banks and retailers providing these new service offerings to consumers via mobile devices. “Gaining control in this dynamic fraud environment is a major challenge for businesses as the Internet and mobile technologies were not designed with fraud in mind. Consumers accessing their financial or personal data at any time is a key fraud risk today, further enabling criminal activity,” said Eisen. “As companies invest to meet customer expectations and ensure that payments are secure and reliable, we see an urgent need for proactive next-generation security measures with fraud detection and intelligent device identification for corporate accounts and online transactions.” In 2013, identity theft affected more than 13 million U.S. consumers and accounted for more than $18 billion in losses. As technologies evolve and information security tightens, the savvy nature of fraudsters becomes more sophisticated. As a result, fraud management needs to evolve and include both offline and online fraud strategies to provide a panoramic view of the customer. In order to achieve this, authentication processes need to become seamless and straightforward to allow both the consumer and the business to feel confident in the authentication process while creating a positive customer experience. “Serious risks are emerging for consumers and businesses as fraudsters identify new targets to attack. The monetary cost of fraud losses can be high, but the impact a loss or breach can have on customer relationships and brand integrity can be even higher,” said Chung. “Combining comprehensive authentication processes with proportionate measures to monitor user activities and protect consumer data throughout the life cycle is a competitive requirement in today’s market.” The Future of Fraud and Identity event will take place on Oct. 21 in New York City, from 7:30 a.m. to noon at the Helen Mills Event Space at 137 West 26th Street.

Consumers are can now be notified when their personal information is being used in an authentication transaction, allowing them to assess whether or not they recognize and expect their identity to be in review by a business. The service enables consumers to respond to the notification, and in cases of potential fraud, to be directed to seamless and effective resolution assistance.