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Fines and fraud: 3 ways biometrics can protect you

10th May 2024
Brought to you by
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Wolters Kluwer provides software to tax and accounting professionals.

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In 2023 The National Crime Agency reported that with 3.5 million incidents, fraud was the most reported type of crime.    

Despite common misconceptions, fraud and cyber-crime don't just happen to vulnerable individuals, but big businesses too. That’s why biometrics can be used to protect your business from criminal activities. Unlike forging a signature or guessing someone’s password, you can’t hack their fingerprint or copy their face.  

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What are biometrics?  

Biometrics refer to the measurement and analysis of people's unique physical and behavioural characteristics. These characteristics usually include fingerprints, facial features, or voice patterns.  

By using biometric authentication methods, businesses can enhance their security measures and protect themselves against unauthorised access and fraudulent activities.  

The most common example you’ll likely be familiar with, is when your phone scans your face or your fingerprint to unlock the device. When scanning your face, the phone analyses thousands of invisible dots that map your features to ensure you are who you say you are—the same goes for analysing your fingerprint. Now imagine this on a practice-level.  

Whether it’s saving you from fines, or saving your time, here are three ways biometrics can protect your firm.  

 

1. Enhanced Security 

Biometric authentication provides a higher level of security compared to traditional methods such as passwords or PINs.  

Since biometric traits are unique to each individual and difficult to replicate, it significantly reduces the risk of unauthorised access to sensitive data or systems. We all know you can get into someone’s phone by guessing their password, but you can’t fake their facial features—the same applies for the security of your business.  

In fact, in 2023, the majority of UK businesses (33%) preferred using biometrics as a security method, compared with approximately half (16%) preferring one-time passwords.  

2. Automate your KYC Checks 

Know Your Customer (KYC) checks are crucial for businesses, particularly in accounting and the financial sector.  

Forget lengthy document reviews and email back-and-forths—biometric technology can streamline and automate the KYC process by verifying the identity of customers through their unique biometric traits. This not only improves efficiency but also enhances the accuracy and reliability of identity verification, reducing the risk of fraudulent transactions and compliance violations. 

The latest advancement to our recently released CCH iFirm AML, is the option to perform biometric checks. CCH iFirm AML + Biometric KYC enables you to verify the identity of your customers in under 90 seconds, freeing up time for other work, whilst remaining compliant.  

3. Fraud Prevention 

Biometrics can help prevent various forms of fraud, such as identity theft and spoofing attacks. Since biometric traits are inherently tied to a specific individual, it becomes harder for fraudsters to impersonate someone or manipulate the system.  

In fact, biometrics prevent these six common types of fraud:  

  • Identity theft 
  • Forgery and spoofing 
  • Account takeover 
  • Transaction fraud 
  • Digital onboarding fraud 
  • Insider threats 

 

Interested in learning more about how biometric checks can protect your practice from fraud and financial crime?  

CCH iFirm AML + Biometric KYC, allows you to sit back and relax, while we verify your clients’ identities against 16,000 official ID documents—all within under 90 seconds.   

Learn more about protecting your practice.