Synthetic ID fraud: It’s very real

Using fictitious identities to commit fraud has gained traction.

Among the most fastest growing types of identity fraud is synthetic fraud, which has exploded with the proliferation of data breaches such as Equifax.

“You need to be aware that this fraud is occurring and what the red flags are that can prevent it from happening to us,” says Sue Landauer, who provided an overview of synthetic fraud during a session Wednesday at the 2018 CUNA Bank Secrecy Act Certification Conference with NASCUS in Louisville, Ky.

With synthetic fraud, the criminal creates a fictional identity and fabricates an identity by applying for credit. In a typical scenario, the perpetrator will obtain the social security number of another person and fabricate a name, says Landauer, a certified public accountant with Forensic Accounting Service.


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