Identity theft has surged significantly in H2 2024, with impacts seen on deposit accounts. SentiLink reported a rise from 2% to nearly 8% in identity fraud incidents. Entrust and ConnectID are implementing advanced biometric solutions for fraud prevention, enhancing user onboarding processes in various sectors, while ID.me reports widespread use of its verification services in the U.S.
Fraud prevention, particularly through selfie biometrics for user onboarding, is becoming increasingly crucial as highlighted by Entrust, ConnectID, and ID.me’s recent developments. SentiLink’s report reveals a significant uptick in digital fraud trends for the latter half of 2024, emphasizing the urgent need for advanced security technologies.
Identity fraud surged notably in H2 2024, especially targeting deposit accounts. According to SentiLink, the incidence of identity theft escalated from 2% to nearly 8%. The report documented a rise from 2% in early July to over 4% in December 2024, which indicates a concerning trend in identity fraud in the U.S.
SentiLink identified several emerging fraudulent tactics, including legacy phone abuse, manipulation of residential proxy IPs, and Assumed Identity Abuse (AIA), whereby individuals take on the identities of those who have left the country. Additionally, organized fraud rings have become more prevalent. However, there is a positive development; synthetic fraud has decreased by 25%, dropping from 1% to 0.75% of all attacks during this period.
The findings stem from an analysis of over 100 million account applications from approximately 200 of SentiLink’s partners across various sectors like credit cards and lending. This extensive data underscores the critical nature of identity verification processes in mitigating fraud risks.
Entrust has expanded its client base with Security Bank Philippines adopting its biometric identity verification platform, Entrust Onfido Studio, for retail banking onboarding. This initiative will enhance the bank’s electronic Know Your Customer (eKYC) processes.
ConnectID, part of the Australian Payments Plus (AP+) initiative, is set to facilitate identity verification for the National Disability Insurance Scheme (NDIS) participants and providers. By integrating with Caresquare’s software platform, ConnectID aims to curb fraud and assist over 690,000 Australians with disabilities.
ID.me, a U.S.-based identity verification firm, boasts over 70 million users relying on its selfie biometrics and related services. This figure is close to half of the total 145 million users with an ID.me wallet, used for engagements with numerous entities including governmental and health organizations.
The article discusses the rising identity fraud amidst advancing biometric technologies for user identification, highlighting significant findings from SentiLink’s report on fraud trends. Notably, despite increases in identity theft, certain fraudulent activities have seen reductions. Entrust and ConnectID are making strides in biometrics and digital identity verification to enhance security, suggesting a turning point in the battle against identity fraud.
Original Source: www.biometricupdate.com
