The Importance of Email Risk Assessment in Fraud Detection

In fraud detection, having extensive data about your users is crucial. Every piece of data helps in making informed management decisions. Here’s why incorporating email risk assessment is beneficial for your business: Click this for emailage risk score

• Reduce Chargebacks: Prevent fraudsters from using stolen credit card details to make purchases on your website.
• Protect Users: Detect and flag suspicious email address changes, potentially stopping account takeover attempts.
• Curb Bonus Abuse: Stop fraudulent users from abusing promotional codes and referral programs during registration.
• Block Fake Users: Prevent the registration of fake or synthetic IDs.
• Enhance KYC Verification: Email data can improve Know Your Customer (KYC) checks, helping to avoid regulatory fines and ensure smoother management.

By blocking fraudsters early, you minimize the potential damage to your business.

Real-Time, Effortless Results

Email address analysis provides near-instant results, reducing customer churn and friction. For example, SEON delivers results in milliseconds, allowing for scalable automated fraud detection. Gather email data, integrate it into your fraud prevention system, and immediately approve or block new user signups confidently.

Capabilities of an Email Lookup Tool

A robust email lookup tool can provide vital user information, such as:

• Email Validity: Check if the email address is legitimate via SMTP checks.
• Disposable Address Detection: Identifies if an email was created using a disposable email service.
• Domain Information: Assesses if the email domain is free and any creation obstacles.
• Email Age: Newly created email addresses are riskier than older, established ones.
• Blacklist Status: Flags email addresses listed as fraudulent by other companies.
• Data Breach History: Determines if the email address was part of a data breach, which may indicate legitimacy.
• Name Analysis: Analyzes the email address’s string for suspicious patterns and matches the name to transaction cardholders.

Limitations of Email Handles as User Authentication

Using email handles for authentication is problematic due to the ease of acquiring them. Fraudsters can:

• Create unlimited free addresses
• Use disposable addresses
• Purchase mature email addresses in bulk from legitimate services

This allows fraudsters to receive business emails without attaching real IDs or financial details. They can easily create an email address matching a stolen credit card’s name to avoid suspicion.

The Role of Email Risk Assessment Technology

Email risk assessment technology ensures email addresses point to real users, not fraudsters.

Social Media Profiling in Fraud Detection

Social media profiling checks if an email is linked to social networks like LinkedIn, Twitter, Facebook, and Instagram. This data enrichment increases the risk of emails not found on social media and helps gather user information such as pictures, last logins, and posting locations. SEON data shows that 76% of borrowers with no social media presence defaulted on loans.

Legal Considerations

These analytics are legal and GDPR compliant, as they use open databases to aggregate information. Ensure your email profiling tools comply with local data protection laws to avoid fines.

Protect Your Business with SEON’s Tools

SEON offers an innovative, real-time email analysis tool. Integrate this tool into a comprehensive fraud prevention solution. Start with a free trial to see how email analysis can help you block fraudsters and grow your business securely.

Clare Louise