Identify high-risk phone numbers with fraud analysis are required at several stages of digital businesses — account registration, two-factor authentication (2FA) and order placement / payment. Unfortunately, fraudsters are constantly finding ways to manipulate systems to carry out a variety of fraudulent activities ranging from spoofed caller IDs and fake numbers to SIM swaps, prepaid accounts and even stolen credit cards. Each of these activities adds to the costs of operating a business – wasted SMS fees, compromised promotions and chargeback penalties.

Identify high-risk phone numbers with fraud analysis

Reverse identity checks paired with world class risk scoring services can uncover hidden data points to detect and prevent fraudster activity. For example, lookups can reveal a history of porting, one-time password requests and multiple premium accounts linked to a number indicating high risk behavior. Additionally, lookups can flag disposable or temporary phone numbers and VOIP services with a known fraud reputation.

A spam risk score is a common indicator used to warn consumers of potentially unwanted calls, such as robocalls or telemarketing. These calls are not only a nuisance, but can also lead to account takeovers, social engineering scams and other forms of fraud-based identity theft and synthetic identities.

Spam risks are caused by a variety of factors including spoofed caller id, fake callers, and unrecognizable or suspicious calling patterns. These calls contribute to costly chargesbacks and erode trust, making it important for financial institutions to detect these types of issues before they escalate into a larger problem.