# Scams have eroded Digital Trust – Banks need to do more to combat the industrial scale of scams in the UK. Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2021-11-03 Category: BANKING Category URL: https://financedigest.com/category/banking Meta Title: Combat Scams and Rebuild Consumer Trust with Positive ID Meta Description: Learn how consumers are demanding more from banks to combat scams and protect their identities online. Discover the solution to rebuilding trust. URL: https://financedigest.com/scams-have-eroded-digital-trust-banks-need-to-do-more-to-combat-the-industrial-scale-of-scams-in-the-ukhtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/common-modern-business-skyscrapers-high-rise-buildings-architecture-raising-to-the-sky-sbi-301984730-3-1736837487629-compressed.jpg) _By_ **_Amir Nooriala,_** _Chief Commercial Officer at Callsign_ Recent Callsign research shows that digital trust is eroding on a grand scale due to the industrialisation of scams. Consumers want banks and other organisations to do more, with over a third (35%) of UK consumers saying their trust in banks has decreased due to persistent scams spoofing brand names. Genuine users are fed up with being asked to confirm their identities time and time again. Fortunately, there is a solution to this problem, and it begins with organisations rethinking their approach to [preventing fraud](https://www.financedigest.com/payroll-fraud-and-how-to-prevent-it.html "Payroll fraud and how to prevent it"). By introducing positive ID, [banks and organisations can keep their customers](https://www.financedigest.com/the-bank-of-me-why-banks-need-to-be-totally-customer-centric.html "The bank of me – why banks need to be totally customer centric") safe from cyber-criminals without damaging user experience. **The huge scam message explosion** The criminality of scams has become so pervasive that fraudsters are using the same channels as we use to authenticate. One example of this is SMS. Many organisations rely on [SMS One Time Passwords](https://www.financedigest.com/breaking-down-the-compliance-limitations-of-sms-one-time-passwords.html "Breaking down the compliance limitations of SMS One-Time Passwords") (OTPs) to authenticate genuine users as they are simple to use and fairly self-explanatory. But SMS was never designed as an authentication system. It’s insecure and can easily be compromised through interception by fraudsters exploiting weaknesses in the SS7 network, or more often tricking network providers to redirect legitimate [users’ messages to a device](https://www.financedigest.com/samsung-users-53-more-likely-to-make-an-insurance-claim-than-those-with-apple-devices.html "Samsung Users 53% More Likely to Make an Insurance Claim than Those with Apple Devices") under a fraudsters control. It’s an inherently [weak system](https://www.financedigest.com/75-per-cent-of-businesses-fear-risk-of-fraud-because-of-weak-accounts-payable-systems.html "75 per cent of businesses fear risk of fraud because of weak accounts payable systems"), so why should the onus be on consumers to protect themselves when the technology they use isn’t trustworthy? [Consumers are asking](https://www.financedigest.com/gathering-consumer-feedback-in-the-financial-field-who-matters-and-what-to-ask.html "Gathering Consumer Feedback in the Financial Field: Who matters and what to ask?") the same question. 42% of users ask [mobile network operators to do more to stop scammers using their platforms](https://www.financedigest.com/danich-local-and-regional-banks-launch-mobile-wallet-powered-by-nets-new-hce-and-tokenisation-platform.html "DANICH LOCAL AND REGIONAL BANKS LAUNCH MOBILE WALLET POWERED BY NET’S NEW HCE AND TOKENISATION PLATFORM"), while a third (33%) also ask the same of banks. **[Digital Trust is needed](https://www.financedigest.com/britains-digital-banks-need-support-amid-banking-turmoil-trade-body.html "Britain’s digital banks need support amid banking turmoil – trade body") for organisations to keep their users safe** When you have been a victim of scamming once, it is difficult to trust again. Users [keep their incomes and savings with their banks, and they trust them to keep them safe](https://www.financedigest.com/five-ways-to-keep-your-personal-data-safe-from-hackers.html "Five ways to keep your personal data safe from hackers"). Therefore, when an attack happens, they want to know and understand how – and the same applies to [personal information](https://www.financedigest.com/half-of-brits-fear-smart-home-devices-could-listen-to-personal-and-confidential-information.html "Half of Brits fear smart home devices could listen to personal and confidential information"). 44% of UK [scam victims react with suspicion wanting to know](https://www.financedigest.com/small-businesses-and-scams-what-you-need-to-know.html "Small businesses and scams: What you need to know") where fraudsters got their details. **[Consumers are calling on banks](https://www.financedigest.com/30-per-cent-of-uk-consumers-would-use-amazon-google-facebook-or-apple-for-banking-services.html "30 Per Cent of UK Consumers Would Use Amazon, Google, Facebook or Apple for Banking Services") to do more** Users are urging their [banks to step up their authentication and digital](https://www.financedigest.com/how-to-enhance-banking-services-with-digital-performance-intelligence.html "HOW TO ENHANCE BANKING SERVICES WITH DIGITAL PERFORMANCE INTELLIGENCE") ID process to keep them safe and combat scammers. And they know exactly how they would like organisations to do that, with more than a third (38%) of UK consumers stating how users should have to prove who they are when logging into a platform. It comes as no surprise that they are asking for more protection, with [users being on the receiving end](https://www.financedigest.com/increasing-grc-demands-and-efficiency-imperatives-will-make-end-user-computing-risk-management-an-important-consideration-in-2017.html "Increasing GRC Demands and Efficiency Imperatives Will Make End User Computing Risk Management an Important Consideration in 2017") of this perceived inaction by companies. In response, [banks and organisations need](https://www.financedigest.com/knowing-your-customers-needs-is-essential-for-banking-innovation.html "KNOWING YOUR CUSTOMERS’ NEEDS IS ESSENTIAL FOR BANKING INNOVATION") to create digital trust by demonstrating confidence in their technology and processes. **How do we combat scams and rebuild [consumer trust?](https://www.financedigest.com/the-effect-of-rising-fraud-levels-on-consumer-trust.html "The Effect of Rising Fraud Levels on Consumer Trust")** The solution lies in understanding and finding new ways to fight [fraud and identify people in the digital world](https://www.financedigest.com/fraud-in-a-mobile-digital-world.html "FRAUD IN A MOBILE DIGITAL WORLD"). Existing solutions [tackle these challenges](https://www.financedigest.com/how-can-financial-firms-tackle-the-challenges-that-lie-ahead-in-2021.html "How can financial firms tackle the challenges that lie ahead in 2021?") by actively identifying fraud, and although this approach is a good starting point, the issue is that a fraudster using stolen credentials looks like a genuine user accessing accounts or executing transactions. Yes, it’s the assumption that you are fraudster rather than a genuine user – when you enter a physical shop you aren’t asked to show your ID immediately are you? However, if [banks and organisations focused on identifying](https://www.financedigest.com/legal-entity-identifiers-leis-how-can-banks-minimise-risks.html "Legal Entity Identifiers (LEIs): how can banks minimise risks?") only genuine users, this will organically prevent frauds. It is vital that [banks do more with multi-factor authentication to ensure](https://www.financedigest.com/challenger-banks-ensuring-trust-in-your-email.html "Challenger banks: Ensuring trust in your email ") they are identifying genuine users. Layering behavioural biometrics over threat detection device and location [data is the most effective way](https://www.financedigest.com/three-ways-the-data-cloud-can-keep-financial-services-competitive.html "Three Ways the Data Cloud Can Keep Financial Services Competitive") to do this. Through a simple swipe of a phone, typing pressure, mouse movements or device angles, users can be personally recognised to a 99.999% accuracy. In turn, organisations eliminate one point of failure in the authentication process and achieve [multi-factor](https://www.financedigest.com/fintech-at-risk-why-multi-factor-authentication-isnt-always-the-answer.html "FinTech At Risk: Why Multi-Factor Authentication Isn’t Always the Answer") authentication with minimal friction. Meaning that even when credentials have been stolen, the genuine user’s behaviour prevents a fraudster gaining access because the fraudster cannot replicate their behaviour. As a result, genuine customers gain trust in the technology and the [process businesses](https://www.financedigest.com/reckon-introduces-link-to-bank-data-to-help-small-businesses-streamline-the-reconciliation-process.html "Reckon introduces link to bank data to help small businesses streamline the reconciliation process ") can use. Understanding the behaviour of real users will allow us to re-establish [digital trust and rebuild the relationships between consumers and their banks](https://www.financedigest.com/how-will-the-introduction-of-digital-banking-impact-customer-perception-and-overall-loyalty.html "HOW WILL THE INTRODUCTION OF DIGITAL BANKING IMPACT CUSTOMER PERCEPTION AND OVERALL LOYALTY?"). The onus is now on [banks to embrace](https://www.financedigest.com/rethinking-retail-banking-embracing-a-customer-centricvalue-proposition.html "Rethinking retail banking: Embracing a customer-centricvalue proposition") the tools that will enable them to do this. --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---