Fraud prevention with identity verification: Protect your business online

Key Fraud Risk Indicators

When you run an online business, you probably interact with customers on different levels: from simple registration to purchases; from correspondence to sharing important information; from using a product to requesting refunds or chargebacks. We could create a much longer list, as these interaction points are endless.

But at any stage, there can be red flags you should be aware of. The following signs may indicate that you're dealing with potential fraud:

• Inconsistent personal information (e.g., different names, dates of birth, or addresses across documents and databases)
• Use of expired identity documents
• Multiple accounts linked to the same contact details (phone number, email address, or IP address)
• Suspicious online activity, such as repeated failed login attempts or unusual account behavior
• High-risk geographic locations associated with fraud, money laundering, or sanctions violations
• Unverifiable or incomplete identity information
• Use of temporary email addresses or virtual phone numbers
• Presence on sanctions, watchlists, or politically exposed person (PEP) databases
• Unusual transaction patterns: using multiple credit cards registered to different cardholders
• Mismatch between a user's declared identity and their digital footprint

Fraud prevention with identity verification

As you may see, the list is long, and it can take ages to verify each user or entity. This is especially challenging when you run a SaaS product or any business where every transaction is crucial and needs to be processed quickly.

That is why you should start using an identity verification tool. With such a solution, you can quickly and easily verify a person and make sure there is no suspicious information associated with them. And if there is, you can identify potential risks early and prevent fraud before it happens.

What's even more important, identity verification (if you choose the right tool) can take just a few seconds, so it won't interrupt the purchase flow or negatively affect the user experience.

Let's take a look at how Pixalytica's identity verification tool can help you.

Identity verification with pixalytica.com

Pixalytica is one of the best identity verification tools that can be easily integrated into your solution. All you need is an image of your customer, as the identity verification process is based on facial recognition technology.

How does pixalytica work?

The process is simple. Once you have an image of a person (their name and surname are optional), you can send it to Pixalytica via API or upload it manually through the dashboard. In less than 20 seconds, you will receive a comprehensive identity verification report that includes:

• Name and surname confirmation
• A complete list of images associated with the person
• Associations with other individuals
• A short summary
• Identified risk factors
• Sanctions screening
• PEP (Politically Exposed Person) status
• Fraud history

Face search reports vs. email or name-based searches

You may have concerns about using an image instead of an email address or a person's name, as many other verification tools rely on those identifiers. However, names and email addresses are much easier to fake than a person's face.

Pixalytica uses an advanced facial recognition engine that analyzes facial features rather than just comparing images. As a result, it can find matches even if a photo has been edited, retouched, or taken years apart. It can also match individuals from different angles and even detect them in group photos.

Thanks to that, Pixalytica gives you a higher chance of identifying potential fraudsters and preventing misuse before it impacts your business.