Fraudsters Want Your ID Information. What Are You Doing to Stop Them?

In 2016, identity theft amounted to $16 billion and affected more than 15.4 million people in the United States. Your identity is arguably your most valuable asset, but how often are you aware of all the ways that you use it to transact? With the lines of physical and digital identity becoming increasingly blurred, it’s more important than ever to safeguard your identity during transactions.

Are you doing enough to ensure you’re keeping your personal information – and your customers’ information – safe from fraudsters?

Click to download the free infographic: Where Does Your Identity Take You in a Day?

Every day, Americans make transactions by swiping, scanning or chip-reading – from grabbing a cup of coffee to purchasing airline tickets. The convenience of these transactions, it seems, trumps concerns of information falling into the wrong hands. But the time has passed for simply hoping our ID information – and our customers’ ID information – will continue to be safe, simply because you’ve seen no evidence it’s been compromised.

Just a Day in the Life for Identity Thieves

Let’s look at a typical day anyone could have to see how easily one can expose their ID information to considerable security risks.

Mobile banking. Shortly after leaving the office, a person decides to check the balance of their checking account. They use the local coffee shop’s free Wi-Fi, because like 67% of Millennials, they use a mobile app to access their banking information. Though on an open network, they tap in their ID, password and perhaps other Know Your Customer (KYC) information, as required by anti-money laundering (AML) regulations. Did a fraudster track their every keystroke?

Click to download the free infographic: Where Does Your Identity Take You in a Day?

Small business transactions. Because this person is now running late to a doctor appointment, they pull out their credit card to engage one of the 1,000 bike-sharing services across the country, a market that is expected to become a $6.1 billion business by 2020. Are the security measures employed by all 1,000 vendors up to par? How does this one rank?

Medical Insurance. At the doctor’s office, they check in at the front desk, making their co-pay with the same credit card and giving their medical insurance card information which is likely photocopied. Like most people, this person is more than likely unaware that 15.4 million medical records were stolen in 2016 alone, and that 301 people across the country were charged roughly $900 billion in false billing.

Remember, Identity Thieves Never Take a Vacation

Although you’re in a rest-and-relaxation mode, you still know not to leave your hotel room unlocked or your wallet on a car seat. If only you could take similar measures to protect your ID information. Here are some common transactions that require ID information on a typical vacation – and some data associated with their risk of security breaches.

Accommodations. The global vacation rental market is poised to be worth $193.89 billion by 2021. Fully 46% of customers check in using hotel loyalty programs, and loyal customers spend on average 67% more than new ones. Front desks and agencies are mostly taking your identity document photocopying it and storing it somewhere; a very insecure data capture method. All this makes vacation rental businesses likely targets for theft of identity information.

Ground transport. Uber reported that 40 million people used the ride-hailing service in 2016. Incidentally, 8,000 ride-hailing service drivers in Massachusetts failed to pass new state background checks in 2017. Similarly, car-rental agencies routinely require a check of ID documents to complete transactions and mostly use the archaic photocopy method of capturing your ID leaving you vulnerable to a paper file floating around.

The More You Know, the Better

Our free infographic, Where Does Your Identity Take You in a Day , illustrates just how important it is to protect your ID information.

Acuant provides businesses with identity proofing solutions for trusted transactions, for more information contact us here.

 

Read the Infographic

Facial Recognition Technology Helps Retailers Comply with FDA Regulations

Last year, the FDA impacted a $3.7 billion industry by ruling that vape pens and e-cigarettes won’t be available for sale to anyone under the age of 18 because they fall under the category of tobacco products. According to a survey conducted by the Center for Disease Control (CDC), one in four teenagers use vaping products like e-cigarettes and vape pipes. The CDC’s survey found that 24% of high schoolers have used alternative tobacco products like vape pens, e-cigars, and e-hookah.

Vape shops and other retailers across the country have spent the past year figuring out how to verify the ages of customers who want to buy e-cigarettes and other related products, whether it’s online or in-person. Every retailer of the covered products must “verify by means of photographic identification containing the bearer’s date of birth that no person purchasing the product is younger than 18 years of age” and must do so for any customer under the age of 27. While verification is needed, retailers need to address how they collect PII scanned from customer driver’s licenses and identification and mind state regulations such as New Jersey’s.

On Premise Verification

Acuant allows for quick authentication of IDs by scanning an ID with any mobile device or desktop scanner to verify that it is valid. This allows untrained personnel to detect sophisticated fake IDs and avoid hefty fines. Results are given in seconds to avoid long customer transactions.

Remote Verification

Online retailers are a popular point of purchase for many e-cigarette users. Similar requirements apply to online sales of traditional tobacco products and alcoholic beverages. Acuant allows retailers who sell vaping products to capitalize on the e-commerce trend and move their businesses online through its Facial Recognition and Match (FRM) technology. Acuant FRMTM enables online retailers in the alcohol and vaping industry to comply with new FDA regulations, which require retailers to validate that customers are over the age of 18.

For customers, Acuant FRM is as easy as taking a selfie, which is then compared to extracted biometric data contained in a government issued ID, such as a driver’s license. Facial recognition technology matches the face biometrics of the selfie to the face image on the ID to authenticate that they match. In addition, Acuant FRM provides liveness detection to prevent criminals from using static images. This one-time verification during account set up ensures that not only does the face match, but that there is also a live person in front of the camera.

Failure to verify customer ages can lead to sizable fines and other enforcement actions. For retailers in regulated environments and shipping companies, this means they need a fraud-proof way to check that the identity document being presented is valid and matches the individual currently making a purchase and that do not store PII. Acuant provides multiple customer friendly options.

 

 

LEARN MORE ABOUT AGE AND ID VERIFICATION SOLUTIONS

Why Vape Shops Need to Embrace Modern ID Verification

The FDA ruled earlier this year that electronic smoking devices including vape pens and e-cigarettes fall under the category of “tobacco products,” which makes them unavailable to anyone who is under 18. This means vape shops and other retailers now need to verify the ages of customers who want to buy them. The new legislation went into effect August 8, 2016 and will no doubt hugely impact the $3.5 billion a year industry.

The new regulations are in place because the FDA has seen a significant increase in minors who are using electronic smoking devices over the past five years. Back in 2011, 1.5% of high schoolers were using e-cigarettes, but by 2016, that number jumped by 16%. With the new ID verification laws, electronic smoking devices will be harder for minors to access.

Sellers will now have to make sure customer ages are verified before they can purchase an electronic smoking device. When the age restrictions weren’t in place, merchants used to offer free samples to customers and electronic smoking devices were also available in vending machines. The new regulations prevent customers from buying electronic smoking devices without a verified photo ID. Retailers will have to ID customers who look younger than 27 and want to purchase an electronic smoking device.

Verifying IDs can be a difficult process for store clerks, especially if they are doing it by hand. Accuracy in ID verification is critical for retailers under this new regulation because if they fail to verify the ages of customers, they can be hit with huge fines.

Acuant offers a solution for retailers needing a fast, easy and reliable age verification. Whether in the vaping, alcohol, lottery or market, retailers can use Acuant’s ID card authentication solution to accurately verify customer identities and ages in seconds. Acuant’s AssureID solution automatically recognizes IDs from all 50 states, making it easy for retailers to implement across national locations. With immediate image processing and data intake, customers won’t have to wait in long lines while cashiers verify customer IDs. Instead of manually checking IDs, which can lead to inaccuracies, cashiers can use Acuant’s solutions to electronically verify ages with a scanner or mobile device. Acuant’s instant ID verification technology guarantees accuracy and speed, so retailers will be able to remain in compliance and transact with confidence.