Fintech
Financial fraud: strategies to ensure the safety of second-hand markets
Indeed, forging fintech partnerships in the field of fraud and identity verification can be vital for second-hand marketplaces looking to ensure the safety of their customers and protect the integrity of their brand.
Earlier this year we spoke with an identity verification company Sumsub Customer Manager Inna Lyubashevskaya on the benefits of using third-party anti-fraud solutions.
“Each business case is unique and requires careful consideration as to whether to handle identity verification in-house or through outsourcing,” he told us.
“While in-house solutions have their merits, the compelling benefits of outsourcing, such as significant cost reductions and customizable options, often outweigh the benefits of an in-house approach.”
Other fintechs are leading the fight against fraud by releasing AI-based solutions to combat fraud – Revolut is among the latest with the launch of its AI scam detection capabilities in February this year.
When it comes to second-hand marketplaces, Maciej says it’s “imperative that they partner with marketplace-specific fraud detection and prevention vendors” to secure their platforms.
For Maciej, the need for safe second-hand marketplaces goes beyond consumer protection alone, as he sees these platforms as “a crucial part of fueling a circular economy for a greener future.”
Financial technology was the driving force for the success of second-hand markets in providing a quality customer experience and ease of payment. Now, these platforms need to step up their anti-fraud measures to ensure consumers are safe and reputations remain intact.