Preventing Identity Fraud with API Implementation

These days, we are becoming more aware of the danger of leaked personal data and information, like our email addresses, phone numbers, credit card number, credit report, password and even physical addresses. Such security risks may lead to cases of identity theft that can harm us personally and our business. However, data sharing for web apps is unavoidable when everything is online. So, how to protect your personal data from identity theft from happening?

In this article, we will talk about one of many ways you can use to protect your business from identity fraud: leveraging APIs. Let’s dive in.

What is API an How It Prevent Identity Theft from Steal Your Identity?

Thanks to advanced technology, we can have digital experiences at any minute of the day. It’s like how we communicate with other people. If we have human languages, computers have software and its elements to exchange data–or communicate–with each other. The data exchange is done via machine-readable interfaces, which are APIs or Application Programming Interfaces.

So, in basic terms, APIs are a set of programming codes that allow data transmission between software platforms. They can access the data and features of applications, services, and even operating systems. Essentially, APIs allow two unrelated applications to ‘talk’.

Leverage API to protect personal information from identity fraud

To protect your business from fraud attacks, you must analyze and scrutinize as much information as possible. Doing manual checks may be inefficient and impractical, just like your current security software and general safety protocols may not be enough to block advanced fraudsters.

Since APIs for fraud detection and prevention are highly advanced, you will have the potential to boost the control and flexibility of your organization. APIs allow two systems to work together, connecting software or apps to seamlessly share data accordingly. You can pair your software with fraud prevention systems, making it useful to detect suspicious transactions.

Now that you’ve learned about benefits from using APIs, it would be best to implement fraud detection APIs as soon as possible; otherwise, the alert of you falling victim of identity theft could be getting bigger by the day.

Why you should use fraud-detection API for your business

Here are a few reasons why you should use fraud-detection APIs to prevent identity thief to commit fraud:

1. API helps automate everything

APIs are connected to web apps so that you can reduce the number of manual tweaks or custom scripting. All improvements are made from the server-side, where your IT team can automate data transfer between different applications and systems. You then can focus more on your business to improve efficiency, reliability, and new solutions.

2. Ease of use

APIs have their own documentation that can help developers use a common language when coding for two different systems. They only need to look at the existing documentation to understand how fast they can access certain functions.

The remotely managed cloud-based fraud detection APIs can also be integrated seamlessly and effortlessly. This definitely saves time and effort for your IT team since there is no disruptive downtime to have formal training. Using APIs to battle identity fraud will make the system more cost-effective for you.

3. Great for scaling

As mentioned above, manual checks to review the data would be impractical. APIs understand that speed is essential for your business and its users. By offering fast queries and responses for hundreds of thousands of user logins, APIs are great for scaling your user data.

4. It offers flexible solutions

Depending on your business, you will work with a very different data set. Fortunately, when it comes to custom data fields, APIs are one of the most flexible solutions out there. You can create a modular fraud detection layer that is tailored to your business goals, where it focuses only on the functions you need the most.

Leveraging intelligent APIs to reduce identity fraud will improve your business's financial security. Choose a trustworthy open finance provider like Ayoconnect, which has connected 1,000+ service providers with 200+ consumer platforms. As the largest open finance platform in Southeast Asia, our API is built with a consistent data structure, high reliability, and fast SLA for more efficient and convenient product development. Visit our website and connect with us now!

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