Identity (ID) fraud losses reached $52 billion US in 2022 and are expected to double by 2024. ID theft is contributing to the growth, along with synthetic fraud, which involves the creation of a fictitious identity using a combination of real and fake personal information. ID scams and other tools are constantly being used to skirt ID verification technology, raising the question of why technological advancements such as biometric authentication have not solved the problem.
There are a few reasons for this, including the advent of high-level forgery, which has never been easier. Anyone can search the internet and dark web to find falsification services offering downloadable templates online. Moreover, criminal groups have been utilizing automation to steal personal data, and leveraging machine learning, bots and other software techniques to convert fake IDs into a large-scale business.