A new TransUnion study has found that online fraudulent activity has increased 11% since the beginning of March; the report also found a 250% increase in digital transactions since the pandemic began; identity fraud was the most common type of fraud they found with a 23% increase within the TransUnion network, with synthetic identity fraud being the most common; there is an estimated $1 billion in outstanding balances linked to synthetic identities across auto, card and personal loan markets; Shai Cohen, senior vice president of global fraud and identity solutions at TransUnion, said, “One of the most effective ways to reduce this type of fraud is to detect suspicious patterns or attributes during the account opening and verification process. Lenders can easily incorporate these red flags into their fraud detection models for more comprehensive coverage while better protecting consumers.” Fox Business.
