Real-Time Defenses: Fraud Prevention in a Blended Threat Era

Identity fraud remains one of the most damaging and persistent threats facing financial services providers and consumers. Current fraud combines new and old tactics—in which fraudsters use emerging technologies such as generative AI to carry out sophisticated attacks while continuing to exploit legacy attack methods. These evolving tactics are fueling a rise in identity-based fraud, including account takeover, synthetic identity fraud, and new-account fraud. Each presents different challenges, whether it’s spotting misuse of real credentials, detecting fabricated identities, or identifying patterns across accounts. The consequences of failing to detect fraud extend beyond financial loss and include delayed detection and the loss of customer trust. Reducing fraud risks requires real-time, AI-powered fraud detection and identity verification solutions that can detect threats across digital and traditional channels.

Foreword

This report, sponsored by Mitek, explores the immediate and long-term risks associated with identity fraud that stems from criminals’ use of a combination of traditional and new data sources and advanced tactics. This report further establishes a case for employing real-time, AI-powered fraud solutions that offer coverage for digital and analog-based fraud. 

This report was adapted from the 2025 Identity Fraud Study: Breaking Barriers to Innovation, published by Javelin Strategy & Research in March 2025. Javelin Strategy & Research maintains complete independence in its data collection, findings, and analysis.