GBG, the global expert in digital identity, helping businesses prevent fraud and meet complex compliance requirements, has announced a partnership with SEON. With this partnership, GBG strengthens online fraud prevention for banks, fintechs, and digital banks by using email, IP, phone, and social media as alternative data for fraud detection, while meeting compliance and data privacy needs. SEON’s technology is fully integrated into the GBG Intelligence Center.
Digitalisation is accelerated by the COVID-19 pandemic, where digital banks in Asia Pacific reported a threefold increase in their customer bases in 2020 as compared to traditional banks. Mature economies like Singapore and Hong Kong have established high fintech adoption rates, and developing countries like Vietnam, Cambodia and the Philippines are gearing to achieve financial inclusion with 70 per cent of Filipino adults by 2023 to provide financial access to low-income households, gig economy, small businesses, and new-to-bank GenZ.
As Financial Crime 4.0 continues to exacerbate, the partnership with SEON enables GBG to increase effectiveness in combatting modern day fraud by validating the most active and present-day e-lifestyle based consumer touchpoints such as email addresses, IP location, social media, phone and SIM data to detect fraudulent anomalies in account application and loan origination, as well as to onboard new-to-bank population. Financial institutions (FIs) can look to reducing fake and malicious email address usage to as low as 0 per cent and increase detection of suspicious IP-related applications and transactions by up to 80 per cent.
Remote Fraud Management with Accuracy and Automation
FIs utilising the GBG Intelligence Center, a key module in GBG’s flagship end-to-end financial crime management solution – Digital Risk Management and Intelligence platform, benefit from enriched data intelligence to augment fraud detection and prevention accuracy by reducing manual work for FIs, false positive and false negative rates.
SEON adds to the performance of the Intelligence Center with its track record of zero false positives for email, phone and IP. Especially as fraud costs increasingly outweigh fraud management spend, this partnership helps risk management teams to increase efficiency by reducing time spent on manual tasks (e.g. checking of email, phone and IP data) by up to 50 per cent. Furthermore, as remote working arrangements continue, the ability to automate fraud detection and prevention with a high degree of accuracy remains crucial. This partnership will further strengthen GBG’s capabilities to support enterprises with agility and flexibility.
Dev Dhiman, Managing Director of GBG, APAC, says, “To effectively address the rise in digital financial crime simply means that fraud detection and prevention measures need to be constantly modernised. This partnership with SEON continues to expand GBG’s datasets to better combat against identity crime, in particular synthetic ID, impersonation, identity theft, account takeover, money muling, and SIM swap fraud typologies.”
“Close to half of GBG’s customers are in financial services, it’s a top priority for us to build a watertight environment to avert any data point from being used by bad actors to commit fraud. By constantly enhancing how our platform performs, we can better protect our customers and build digital trust between financial institutions and their consumers. As the digital economy continues to evolve, the GBG Intelligence Center will continue to grow its strong network of partners to equip all FIs with the best-of-breed data and technology to fight fraud,” continues Dhiman.
Double Down on Fraud with AI & Machine Learning
Complementing GBG’s artificial intelligence (AI)-driven approach to detect fraud, SEON uses open data and whitebox machine learning, giving businesses complete visibility and total control of how the AI decisions are made.
With SEON’s expertise and access to data, the integration with GBG Intelligence Center will provide enterprises with an even more thorough and unified fraud detection process:
- Achieve up to 60 per cent reduction in fraud volume in enterprises
- Wide data coverage in APAC
- 100 per cent GDPR and ISO 27001 compliant to meet data and privacy standards
- Leverages only on proprietary email, IP and phone data going back a decade
- Connected to over 30 social media platforms to uniquely see a comprehensive view of a person’s social network footprint with their digital footprint
SEON’s APAC customers include Grab, Danabijak, ATM Online, HomeCredit, 10Bet, and Robocash.
Jimmy Fong, Chief Commercial Officer at SEON, added, “The ability to identify fraudulent behavioural patterns also means businesses can discover hidden revenue opportunities. SEON’s AI adapts to any business model, learning how it operates to create fully transparent and visible rules. This creates a scalable fraud prevention solution for all online business types, whether as a payment service provider, payment gateway, neobank, Buy Now Pay Later (BNPL), gaming, anti-money laundering and more. The combination of GBG and SEON is a modernised solution for a fast-moving digital age, set to create greater agility to mitigate growing risks of fraud brought on by the pandemic, while smoothening and automating financial crime management processes without compromising user experience.”
This partnership forms part of GBG’s commitment to protect and provide FIs with end-to-end digital fraud and compliance solutions. The GBG Intelligence Center, with SEON incorporated, will be available to FIs across APAC, including Vietnam, Cambodia, the Philippines, Malaysia, and Thailand.