Online authentication is designed to prevent unauthorized users from gaining access to accounts and devices. But what happens when a criminal is an authorized user, poses as the authorized user or manipulates the authorized user to access the system?

Fraudsters sometimes can bypass or exploit authentication gaps – for example, by leveraging compromised usernames, passwords or answers to verification questions they find on the dark web. Criminals also may attempt to convince consumers to send fraudulent payments to them. They will take advantage of the complexity of authentication requirements to find vulnerabilities, allowing them to gain access to and control our systems so they can fraudulently move funds.

Click the Read More button below to read the newest article from FedPayments Improvement in a series on authentication and its critical role in payments.