Identity verification is central to the financial services industry – it’s how banks and other lending institutions provide consumers with quick and secure access to financial resources. And it’s never been more evident than with the growing threat of synthetic identity fraud. With that in mind, we are excited to announce that Experian has been named one of the 10 participants, and only credit bureau, in the initial rollout of the Social Security Administration’s (SSA) new electronic Consent Based Social Security Verification (eCBSV) service.
We believe the new service opens the door for financial institutions to more efficiently verify Social Security numbers with the government agency and effectively combat synthetic identity fraud, while providing an improved experience for legitimate consumers hoping to access credit and open other financial accounts. Previously, financial institutions were required to provide “wet” written consent to be able to cross-reference an individual’s Social Security number, address and date of birth directly with the SSA. With the eCBSV service, the process will be available via electronic signature by the consumer – creating a more efficient process.
Our inclusion in the initial rollout furthers our commitment to the industry to help the fight against synthetic identity fraud. It also ensures our clients have the tools and resources to more easily detect fraudulent behavior, as well as protect people’s identities and information.
However, it’s important for financial institutions to keep in mind, the new eCBSV service should only be viewed as a component of a larger identity verification and fraud prevention approach – particularly with fraud attack methods, such as synthetic identity fraud. We still recommend that banks and other lending institutions implement a multi-layered approach that relies on advanced data, analytics and technology. Oftentimes the true insight lies beyond basic demographic information. The use of innovative technology, such as machine learning, device intelligence and behavioral biometrics, can help financial institutions detect patterns and anomalies that may indicate fraudulent behavior.
The SSA’s initial rollout of the new service is expected to begin in June 2020, and Experian plans to work closely with a select number of clients during the first phase of the program. As the SSA expands the number of authorized end-users, we look forward to offering this service broadly to our clients and partners.
To learn more, view the SSA’s full press release.