• Monday, July 15, 2024
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How Flutterwave Fights Mobile Money Fraud

Moving money has always come with risks, from stagecoaches to armored cars. With every breakthrough in security, thieves respond with ever more sophisticated ways to steal. The challenge is constant for e-payment services like Flutterwave, which deals with diverse payment methods including mobile money.

Mobile money has changed banking and business transactions in every part of the world, but nowhere more than Africa, where Flutterwave is the continent’s largest e-payment platform. According to McKinsey & Company, “Globally, electronic payments are a booming industry, having attracted more investment than any other financial-services sector and delivered the highest returns and growth in the sector over the past decade. Africa has been no exception.

“In 2020, Africa’s e-payments industry, across domestic and cross-border payments, generated approxi­mately $24 billion in revenues, of which about $15 billion was domestic electronic payments. The domestic electronic-payments revenue of $15 billion was generated from 47 billion individual trans­actions totaling just over $800 billion of transaction values.” That is because it gives millions of Africans tChe most convenient access to everyday financial transactions.

However, with this convenience comes the looming threat of new fraud. While digital scams are as old as the internet itself, the rise of multiple new payment options and companies brings ripe opportunities for 21st-century thievery.

That’s why Flutterwave devotes great resources to safeguarding its customers against the risk of cybertheft.

Stopping Theft Before It Happens

The best way to keep users safe is to help them avoid the most common kinds of mobile money scams. That’s why Flutterwave’s strategy starts with education via its blog, video tutorials, and social media. By arming users with knowledge, the company makes the first move in preventing fraud.

The company’s antitheft strategy’s education component empowers users to take proactive measures to protect themselves. This includes tips on spotting fake messages and understanding safe transaction practices.

When users detect unauthorized transactions early, they have a better shot at recovering their missing funds and preventing greater losses later on.

Users are also advised to be cautious of unsolicited requests for personal information. Legitimate companies will never ask for sensitive details like passwords or PINs via phone or email. Being skeptical of such requests can prevent many common types of fraud.

However, it’s not only users who need to stay vigilant.

Flutterwave also provides regular fraud training to its employees. These sessions ensure staff members are current on the latest digital schemes and prevention techniques. Educated employees can then provide high-level assistance to users who believe they may have encountered a shady situation.

For those with concerns or who spot suspicious activity, Flutterwave offers secure communication channels. Users can contact the company directly through official email or social media platforms for assistance and guidance. This open line of communication ensures that users can get the help they need promptly.

Using Tech Like a Shield

Beyond educating users and employees, Flutterwave invests heavily in cybersecurity technology. In the digital world, fraud methods evolve rapidly. Innovative new techniques are constantly popping up, seeking new ways to victimize people who use their phones to shop, pay bills, or transfer money.

Keeping security systems updated is essential. Flutterwave follows the highest global security standards and continuously updates its security infrastructure, swiftly addressing any potential vulnerabilities. These regular updates incorporate the latest security features and strategies, shielding against fraud.

These technological advances are made at every level, from the beginning of user interactions through the entire transaction process.

One of the best-known ways technology can prevent fraud is through two-factor authentication. This method requires users to verify their identity using a second form of authentication, such as a code sent to their mobile device. The extra step makes it significantly harder for unauthorized individuals to access accounts, adding another barrier between users and potential fraudsters.

However, 2FA can’t protect against every threat, and monitoring transactions is another key component of Flutterwave’s approach.

The company employs advanced tools to track transaction patterns and detect unusual activity, such as quickly traveling hundreds of miles from the last purchase site or spending an exorbitant amount on goods users typically don’t buy.

Using these secondary checks, Flutterwave can quickly identify suspicious transactions and trigger alerts in real time. This immediate response allows the company to take action swiftly to prevent fraud before it can cause significant damage.

Partners in Prevention

Collaboration is another cornerstone of Flutterwave’s antifraud efforts. The company believes combating fraud requires a collective approach, so it works closely with regulatory authorities and other companies across Africa and beyond.

Sharing information and strategies with regulators and other digital companies helps build a more robust defense network that ultimately benefits everyone who uses the mobile money ecosystem. Sharing fraud prevention strategies not only strengthens each company’s cybersecurity efforts; it also discourages thieves. Partnering with regulatory authorities helps keep government officials abreast of the latest efforts to steal citizens’ money, assisting authorities to craft more relevant legislation and enforcement tools.

As mobile money transactions gain more ground across Africa, Flutterwave will keep prioritizing the highest payment security efforts and continue staying on top of fraud prevention to give individuals and businesses the desired peace of mind with every transaction.

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