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December 15, 2004

Web Hosting Firm Selects Authentify to Prevent e-Payment Fraud

Authentify, the Internet identity company, announced today that midPhase Services, Inc., one of North America's leading web site hosting companies for Small-Medium Businesses (SMB), has selected Authentify to eliminate e-payment fraud and automate online order confirmation. Authentify has enabled midPhase Services to reduce credit card charge backs and block criminals from activating e-mail accounts to launch Phishing attacks and distribute spam.

midPhase Services selected Authentify for its ability to prevent users from setting up web sites and e-mail accounts using stolen credit card numbers. This practice is commonly used by criminals to launch e-mail phishing attacks that attempt to steal privacy data, such as credit card numbers, social security numbers, passwords, etc., from unsuspecting consumers. The Authentify service defeats fraudulent transactions by placing an automated telephone call to users when they attempt to purchase web hosting and/or e-mail accounts on the midPhase web site using a credit card. To complete the transaction, users are required to speak confirmation details that are simultaneously being presented in their web browser.

"Credit card fraud as a percentage of our incoming orders was skyrocketing, and the process of manually confirming hundreds of orders was killing us. Using a stolen credit card number Spammers would set-up web hosting accounts by the dozens and flood our network with spam or phishing messages. When we caught them they would simply open a new account using another name and credit card and start the cycle over again," said Dan Ushman, President and Co-founder of midPhase Services. "Since we started using Authentify, we have virtually eliminated credit card fraud and spamming/phishing activities. Criminals are simply not willing to provide their real phone number, much less answer the phone call necessary to validate the transaction. Authentify is a powerful deterrent."

"midPhase Services provides another real-world example of how Authentify enables online businesses to prevent fraud and offer secure internet transactions without the need for any hardware, software, or training," said Peter Tapling, president and CEO of Authentify. "The Authentify service enables companies to offer customers and consumers higher levels of online service and convenience, without assuming the risk of password-only security or the high cost and complexity of hardware-based identity technologies."

06:07 AM in Web Hosting Companies | Permalink