Global new account fraud dips in 2020 - Jumio report

KUALA LUMPUR, Dec 16 -- New data from Jumio, the leading provider of AI-powered end-to-end identity verification and eKYC solutions, reveals new account fraud based on ID verification declined 23.2 per cent worldwide YOY this year, compared to 2019 results. At the same time, selfie-based fraud rates were five times higher than ID-based fraud, according to a statement. This illustrates the growing number of stolen ID documents available on the dark web for purchase and, more importantly, the growing need to determine if an ID is authentic and belongs to the user. The fourth edition of Jumio’s Holiday New Account Fraud Report examines fraudulent attempts to open a new account using a manipulated government-issued ID and a corroborating selfie. The report is based on the analysis of tens of millions of transactions from a variety of industries and geographies globally. Selfie-based fraud describes fraudulent attempts to use a picture or video instead of a genuine selfie to corroborate a digital identity.

In fact, selfie fraud rates were significantly higher than fraud based on just a government-issued ID. The fraud associated with the selfie averaged 7.15 per cent globally this year, compared to 1.41 per cent for ID-only verifications. These findings are especially timely as more and more organisations are migrating from legacy methods of identity verification, which are not equipped to detect sophisticated methods of new account fraud. More details at www.jumio.com

-- BERNAMA