Shufti’s Reveals That Global Identity Fraud Increased 3.36% in 2020

Originally Published on PR.com

Shufti, a worldwide KYC and AML service provider empowered with cutting edge AI, recently published its 2020 Global Identity Fraud Report which unveiled that identity fraud increased by 3.36% in 2020.

According to the report, account takeovers and identity thefts are the most common types of online frauds. United States citizens face 7-10% identity theft every year and 21% of them face it multiple times. 25,036 data breach-related complaints were lodged by German residents. The United Kingdom suffers a loss of £190 billion because of frauds in 2020. These numbers show that the need for a robust fraud prevention solution is inevitable.

Sharing his views on the status of global fraud, Shahid Hanif, CTO of Shufti said: “The pandemic, rising demand for digital services and the surge in fraud has taken businesses by surprise. Financial and identity frauds are on the rise increasing the demand for online identity verification solutions. This report will provide you with valuable insights into the identity frauds that occurred in 2020 to help you make beneficial decisions for your business in 2021.”

Different regions have reported varying figures of biometric frauds in 2020. In some regions, the number decreased while other regions reported a slight increase. It’s found that 22.4% of the face verification were biometric fraud attempts. The UK, China and India experienced a decrease in biometrics frauds, but Australia, USA, Cyprus, Egypt and Italy faced an increase in biometric frauds.

The company reports that the industry-related frauds also increased in 2020 including insurance claim frauds increased by 5% in 2020 with a loss of £1.5 billion. Identity theft rises by the rate of 13% in 2020 as compared to 2019.

Criminals use more digital channels in 2020 for scamming to get financial benefits. The rate of cybercrime inflated the previous year.

CEO of Shufti, Victor Fredung gives his views about the Identity Fraud Report of 2020, “Fraud evolved tremendously during 2020 and more advanced approaches to fraud prevention must be taken in order to secure your businesses and customers from million-dollar identity and payment fraud. Our Fraud Report 2020 is drafted to provide you with a birds-eye view of identity fraud that we captured including findings that global researches reported.”

The fraud report provides a comprehensive picture of global fraud happening in different regions and industries. The report shows detailed information about fraud types, their evolution during 2020 and how it might affect businesses during 2021. It equips businesses with quality insights to help them plan a fraud-free year ahead.