New-Account Fraud: A Threat Down Every Avenue
- Date: June 09, 2022
- Suzanne Sando
- Report Details: 14 pages, 4 graphics
- Research Topic(s):
- Fraud & Security
- Fraud Management
This report, sponsored by BioCatch, explores the real-life risks and impacts of new-account fraud on financial institutions and consumers. This report is derived from the 2022 Identity Fraud Study: The Virtual Battleground, published by Javelin Strategy & Research in March 2022. Javelin Strategy & Research maintains complete independence in its data collection, ﬁndings, and analysis.
Identity fraud continues to have a devastating effect on U.S consumers and financial services, and it shows no signs of slowing down. In 2021, consumers lost almost $52 billion1 to traditional identity fraud and identity fraud scams, with nearly $7 billion attributed to new-account fraud. Banks and credit unions must mitigate the risk of new-account fraud by successfully striking the balance between a frictionless account-opening experience for consumers and building a robust identity-proofing solution that stops identity fraud in its tracks. Through the use of behavioral and device biometrics and account interaction risk-scoring, financial institutions can be confident that they know who is on the other end of a new-account application.
Download Complimentary Whitepaper
2023 Identity Fraud Study: The Butterfly Effect
Over the 20 years Javelin Strategy & Research has been performing its landmark Identity Fraud Study, much has changed, including the emergence of an entire industry devoted to vari...
In Check Fraud, Everything Old Is New Again
For a payment vehicle that is fading away, paper checks sure are getting a lot of attention from criminals. Suspicious-activity reports to FinCEN, the Financial Crimes Enforcement ...
More Cyber Lessons for Digital Bankers: It’s All About Trust
Some banking customers just do not trust the internet and are not comfortable using it. They trust their banks, though, and this presents an enormous opportunity for FIs to engage ...