Question Types within Knowledge-Based Authentication

Some knowledge-based authentication systems on the market currently use non-credit based questions or credit-based questions. However, using only one or the other may not be the most effective method of reducing fraud. Ideally, knowledge-based authentication systems should have questions which are designed to be more easily answered by the legitimate consumer and more difficult to answer for an identity thief. While this can generally be accomplished by using either type of data, removing reliance on one type of data is key in improving the performance of a knowledge-based authentication program, both from a fraud prevention and consumer experience perspective.