Onfido and IDValidation partner to tackle growing threat of synthetic identity fraud
Combination of SSN validation and identity verification provides the most robust protection against the fastest-growing financial crime in the USA
Onfido has partnered with IDValidation. Using Onfido and IDValidation together provides the greatest assurance that a user really is who they claim to be, and reduces the risk to business of synthetic identity fraud.
Synthetic identity fraud is estimated to be the fastest-growing financial crime in the USA, and costs businesses billions of dollars every year. Rather than stealing a complete identity, synthetic identity fraud involves fraudsters fabricating one element of an identity – typically a Social Security Number (SSN) – and using it to access goods and services, or open bank accounts and other lines of credit. It’s been estimated by the Federal Trade Commission that there are over 10 million more profiles in the system than there are consumers in the USA.
IDValidation’s unique consent-based SSN verification (CBSV) product reduces the risk of synthetic identity fraud by scanning official government source records to ensure that an SSN is valid. It provides instant, online validation of personal identifying information including name, date of birth and SSN to give businesses assurance that a user’s details are valid.
Onfido’s AI-based identity verification technology is then able to connect this validated identity to a real, living human. By asking users to provide an image of an identity document and a short selfie video, Onfido ensures that the person presenting the identity is its legitimate owner, and is physically present – preventing spoofing attempts, like users submitting photos of photos.
Husayn Kassai, CEO and co-founder at Onfido said: “for the first time using IDValidation means you can confirm that an identity is valid, and along with Onfido, prove that the person presenting the identity is who they claim to be, all in less than a minute. We’re delighted to be partnering with IDValidation to help businesses onboard users quickly and tackle the problem of synthetic identity fraud”.
Paul Campione CEO and Founder at IDValidation, said: “In today’s ERA of Cyber Crime, Synthetic ID Theft has risen by 8-fold over the last 6 years and now accounts for nearly 30% of all credit fraud losses. Lenders can no longer rely on flawed data sources to prevent fraud. Direct Social Security Administration access is required to stop 100% of SIDT. This is why we are delighted to partner with Onfido to create a "bullet-proof" 3-Part ID Verification solution unmatched in the industry today. We believe this new revolutionary verification methodology will transform the vetting process into the future.”