Today’s modern world is all about technology and how it is making life convenient. Customers nowadays demand convenience and booking a flight is not at all a problem. Just one tap and people plan their epic vacation. As per the reports from Finextra, the travel industry contributes to 10.2% of the global GDP. However, threats for travel agencies, airports, and the hospitality sector have significantly increased. Thanks to modern technology, there are various solutions for the travel industry to fight crimes.
Nevertheless, fraudsters are also using better technology for their illegal gains. Identity theft, fake travel agencies, and money laundering through hotels have been a threat for the past few years in the travel industry. Hence, there is a need for more rigid identity verification solutions like passport scanners to prevent fraudsters from their illicit activities. AI-powered biometric authentication is one of the fantastic methods of fighting fraudulent activities in the travel sector. Let’s take a look at some of the illegal activities in this industry and how biometric authentication can help.
Among all other scams, payment frauds are the most common ones and hotels are the primary target. The biggest issue is fake travel agencies that offer fake discounts and vouchers to customers. Fake bookings lead tourists to hotels and there is no other option for the hotel management other than providing free stays. Otherwise, hotels lose customers and a damaged brand reputation is another consequence. On the other hand, fraudsters also claim chargebacks for availing services without paying.
Hotels and Money Laundering
The act of concealing the origin of illegally earned money is said to be money laundering. Fraudsters use various methods for this purpose and one of the ways is using the travel sector for hiding money. Placement, layering, and integration are the three stages of money laundering. Hotels are used in the layering stage when fraudsters start layering their money. It is important that hotel management identifies money launderers and always checks the source of money before black money enters their records and circulates in the economy. This can be done through identity verification at check-ins.
Everything has digitised and it is only a matter of minutes to acquire someone else’s identity and use it for other illegal activities. Digital check-ins offer a lot of convenience to all the customers, be it check-in at hotels or boarding at airports. However, fraudsters steal identities at these points. The acquired information is later used for earning loyalty cards and several other benefits that travel agencies and hotels offer their loyal customers.
With the help of forged identities, criminals also try to dodge identity verification checks at airports. Lastly, if nothing else happens, the stolen identities can be used for opening bank accounts and use them for money laundering and terrorist financing.
Biometrics to Fight Crimes in the Travel Sector
Biometric authentication is one of the finest ways of dealing with fraudsters in the travel sector. Biometrics verifies the behavioral and physical traits of an individual to ensure live presence. Unlike other measures, biometric verification uses techniques like 3D mapping, skin texture analysis, and other techniques to ensure that a fraudster does not use stolen identity for dodging identity verification checks. With the help of AI-powered biometric authentication, hotel management and airports can combat spoof attacks and deep fakes in no time.
How Does Biometric Face Verification Work?
Biometric face verification uses artificial intelligence algorithms for verification. The following techniques are used for better verification results. These techniques ensure that the customers and passengers are present at the time of verification:
- 3D depth perception
- Micro-expression analysis
- Liveness detection
Deep fakes and spoof attacks are a challenge for all businesses these days and facial biometric authentication is a great way to combat them.
It all narrows down to one point; biometric authentication is one of the best ways of dealing with fraudsters in the digital world. The industry is facing a significant boom in criminal activities and there is a dire need for combating these travel frauds. Identity theft, money laundering, and payment frauds are some of the fraudulent activities on the rise. With the help of biometric authentication, hotels and airports can identify fraudsters in no time and ensure the security of the platform as well.