Can Fraud Alerts Raise Customer Loyalty?

For most people, being contacted by a bank about potential fraud isn't a wonderful experience—but it can be if it’s managed in a timely, personalized manner. In fact, customers of a UK banking client consistently point to fraud intervention as a "golden moment" of customer service in the organization's quarterly surveys.

As you've heard from several of us on this blog, mobile devices and electronic channels are facilitating the ability of banks to engage their customers in intelligent automated dialogs. One key benefit, among many, is that these capabilities enable banks to stop fraud faster, while building customer trust and loyalty. When a suspicious transaction is detected, banks can reach out to customers instantly, using the media of their choice, to see if it’s indeed fraudulent. And by constantly feeding back to analytics the results of these customer interactions, banks are improving the accuracy and adaptability of fraud detection systems.

FICO has just published an Insights white paper that discusses how leading banks are driving gains by managing individual customer experience as part of fraud intervention. In it, we share some of the results they're seeing in terms of better fraud detection, increased efficiency and higher customer satisfaction. I invite you to download the paper—entitled “Can Fraud Alerts Raise Customer Loyalty?”—and let us know what you think (note: registration is required for download).