As the strategic partner to many of the world’s largest financial institutions, 41st Parameter brings to bear real-world exposure to the latest fraud trends and unparalleled expertise in developing device-based enterprise fraud management strategies. Our solutions are helping protect the retail and commercial clients of institutions currently experiencing in excess of 8 million logins per day.
In a departure from traditional fraud detection systems, which focus on monetary transactions, 41st Parameter has developed unique expertise and capabilities in detecting early-stage fraud. Early detection offers a number of benefits including more orderly and predictable fraud operations, greater fraud savings, and better customer relations.
41st Parameter’s exposure to high-risk environments, such as Global Treasury Services, where transactions can top $1 million and brazen sting-attacks dominate, has also shaped how we are organized to collaborate with our partners in providing rapid response to emerging threats.
In addition to the ongoing need for controlling fraud losses, banks must now consider additional regulatory and reputational drivers for deploying device intelligence:
- New FFIEC Guidelines. On June 28, 2011 the FFIEC published its new authentication supplement, which requires bank compliance starting January 1, 2012. The guidance calls specifically for the type of layered security advocated by 41st Parameter and for the category of “complex device identification” which 41st Parameter launched seven years ago. Says the FFIEC “Layered security can substantially strengthen the overall security of Internet-based services… the Agencies consider complex device identification to be more secure and preferable to simple device identification. Institutions should no longer consider simple device identification, as a primary control, to be an effective risk mitigation technique”.
- Increased focus on purging rogue online actors. Having come to realize the nefarious purposes for which accounts opened under “synthetic” identities can be used, and the regulatory and reputational ramifications, banks are increasingly focused on detecting and purging bad actors from their Internet estate.
41st Parameter plays an important role in these efforts with its ability to link devices across accounts and lines of business.