{"id":7104,"date":"2022-01-26T00:00:00","date_gmt":"2022-01-25T16:00:00","guid":{"rendered":"https:\/\/www.fraudlabspro.com\/resources2\/tutorials\/fraud-prevention-with-sms-verification\/"},"modified":"2026-05-26T18:39:26","modified_gmt":"2026-05-26T10:39:26","password":"","slug":"fraud-prevention-with-sms-verification","status":"publish","type":"docs","link":"https:\/\/www.fraudlabspro.com\/resources\/tutorials\/fraud-prevention-with-sms-verification\/","title":{"rendered":"Fraud prevention with SMS verification"},"content":{"rendered":"\n
\"Fraud<\/a><\/figure>\n\n\n\n

E-commerce sites use SMS verification to prevent fraudsters from trying to create multiple accounts for making purchases with stolen credit cards. Such a verification step is part of the two-factor authentication process. Two-factor authentication<\/a> (2FA) is a security system that requires two separate, distinct forms of identification in order to access something. The first factor is a password and the second is usually an SMS with a code sent to your mobile phone.<\/p>\n\n\n\n

Why use SMS verification?<\/h2>\n\n\n\n

You might be wondering why use SMS verification? Hackers have devised numerous ways to target famous websites and steal important data hold in their databases. Data such as customer personal info and payment card information are highly valuable and sought after on the dark web. Hence, your password might not be as secure as you once thought.<\/p>\n\n\n\n

Data breaches are common nowadays. This is particularly true if you tend to reuse your password on multiple websites. For an example, when you use the same password, a hacker who gains access to one account will be able to get into all your other websites by using the same password as well if those websites are facing the data breach issue.<\/p>\n\n\n\n

So, see the problem now?<\/p>\n\n\n\n

SMS verification requires a mobile phone number, so this makes it personally identifiable. Therefore, fraudsters are discouraged from trying their luck on websites that employ SMS verification.<\/p>\n\n\n\n

The pros & cons of using SMS verification<\/h2>\n\n\n\n

Pros<\/strong>:<\/p>\n\n\n\n