The European Central Bank found that strong customer access measures, including non-repudiation, helped reduce online banking fraud by 50% in the EU between 2019 and 2021.
At its essence, non-repudiation is proof that a specific action—such as a transaction or document signing—was carried out by the claimed party. It goes beyond confirming identity (authentication) or data integrity. Think of it as a “digital fingerprint” that not only verifies “who” did something but also prevents that person from later denying it.
The Role and Benefit of IAM in Enabling Non-Repudiation
Identity and Access Management (IAM) systems make this possible by verifying user identities precisely and linking each transaction to the right individual.
Here’s how IAM ensure non-repudiation at every level:
- Fraud Prevention through Strong Authentication
IAM systems validate identities with multi-layered authentication, establishing clear links between users and actions. Biometric Authentication lies at the heart of this security, requiring users to provide multiple forms of unique ID, such as a fingerprint, selfie, or video.- Multi-Factor Authentication (MFA): Adroit Market Research predicts that by 2025, MFA will have a $20 billion market share. When configured with strong methods, MFA can nearly eliminate unauthorised access and thwart fraud.
- Advanced Security Keys: FIDO-compliant security keys, such as Microsoft and Google authenticator, add an almost unbreakable layer of security, clearly linking actions to specific users.
- Access Control
IAM frameworks regulate access strictly, ensuring only authorised users can perform sensitive actions. This level of access control is crucial for non-repudiation because it links actions to specific, permitted individuals.- Role-Based Access Control (RBAC): IAM assigns permissions based on user roles, ensuring users only access what they need. This minimises the chance of unauthorised actions.
- Dynamic Access Policies: Many IAM systems use context-aware policies, permitting access based on location, device, or network conditions. This enhances security by ensuring that only legitimate users access sensitive data.
- Audit Trails
IAM systems maintain detailed, tamper-proof logs, providing a time-stamped record of every user action. This is essential for compliance, providing clear evidence of who did what, when, and how.- Detailed Logging: IAM logs capture every interaction, from login attempts to permissions changes, providing a clear trail. 87% of financial institutions report improved compliance due to IAM logging, with automated solutions cutting compliance costs by up to 30%.
- Centralised and Immutable Logs: Advanced IAM solutions offer centralised logging with real-time monitoring and tamper-proof records, essential for meeting regulations like GDPR. Citigroup, for instance, logs over 1 billion user actions daily to prove compliance, helping it avoid regulatory fines of up to $10 million.
A recent study shows that 78% of consumers trust banks more when strong security measures are in place. IAM provides the foundation for non-repudiation, ensuring all actions trace back to authenticated users, enhancing security, compliance, and trust in financial services.
Seamfix iAM: Non-Repudiation Made Easy for Financial Services
Seamfix iAM simplifies non-repudiation with secure, efficient access management, ensuring that only verified users—employees, contractors, or partners—can access exactly what they need. Here’s how:
- Biometric Multi-factor authentication with biometrics strengthens identity checks at every access point.
- Role-based controls precisely limit access, minimizing unauthorized activity.
- Immutable logs support compliance, providing clear, tamper-proof records for audits and investigations.
- Fast, easy integration with your existing systems—without disruption.
- Pay in local currency, cut insider threat costs, and stay compliant.
We make non-repudiation a vital tool for your business and customers. Book a free demo to see how Seamfix iAM works.
