Synthetic Identity Fraud
Synthetic Identity Fraud occurs when a bad actor uses a combination of pieces of data – for example, name, social security number, address – to create a user who does not actually exist, for the purposes of creating and using an account in that name.
It’s a highly sophisticated and hard-to-spot form of online fraud that differs from more traditional identity theft. Rather than stealing the identity of a real person, synthetic fraudsters create a ‘person’ who doesn’t exist by using stolen, fictitious, or manipulated Personally Identifiable Information (PII).
Synthetic identity fraud can take many forms and definitions, including:
Identity fabrication – refers to identities created using entirely fictitious information. No genuine PII is used.
Identity manipulation – refers to identities created using genuine identity data elements that are then slightly modified and changed to create a new identity.
Identity compilation – refers to identities created from different genuine information to create a new identity. The data could be from leaked or stolen information online. This is also known as Frankenstein fraud.
Face biometric verification prevents synthetic identity fraud by asking a user to scan their government-issued identity document during an online onboarding process. They are then asked to also scan their face. With iProov, this face biometric verification process takes just a few seconds to confirm that the user is the right person, a real person, and that they are verifying their identity right now, in real time.
Learn More About Synthetic Identity
Article: Synthetic Identity Fraud – What Is It and How Can You Prevent It?
Article: Frankenstein Fraud: How Synthetic Identities Are Haunting Financial Services & Governments
Webinar: Synthetic Identity Fraud: Defending Against the Invisible Enemy