In a fraud report released by Jumioin December 2019, there was an increase of 27.8% in the new account fraud worldwide in 2019 compared to the 2018 statistics. However, attempted new account fraud decreased by 19% during Black Friday/Cyber Monday Weekend, which are known to be the peak of this criminal act.
Jumio mentioned that this act usually involves manipulating government-issued ID cards. The company analyzed the global ID fraud pattern with a focus on Black Friday and Cyber Monday across several regions and countries within the period of 2014 and 2019.
Philipp Pointer, who is Jumio’s chief product officer stated that the increase in the fraudulent activity has made it difficult or digital enterprises to differentiate between real users and the false users which often results in large amount data breaches, which obviously leads to the rise of the dark web and emerging identity theft. He also stated that companies are not relying on the conventional account verification process as a means to unravel the new techniques of account fraud, which are not very efficient.
