Synthetic identity fraud was analyzed in a recent report by TransUnion. Synthetic fraud is the use of personally identifiable information (PII) to fabricate a person or entity in order to commit a dishonest act for personal or financial gain.
In the first half of 2023, U.S. auto lenders saw an increase in total synthetic identity exposure, reaching $1.8 billion. This represents a 38% rise year-over-year (YoY) and marks the second consecutive year of increased exposure in the auto finance industry.