What is Fraud Detection Software?
Fraud detection software is increasingly important to financial organizations, and online commerce organizations, which depend on authentication mechanisms to detect identity theft, hacking, and other fraudulent activity. Most products in this category are designed to strengthen authentication flows, evaluate the risk of events as they happen, and provide prevention mechanisms like multi-factor out-of-band authentication.
Out-of-band mechanisms refer to the practice of requiring two separate and unconnected authentication channels, making it much harder for a potential hacker to gain access.
A secondary method is the practice of requiring the user to make a phone call from a number on file, or respond to a code sent to the number on file via SMS.