Fraud Rates Projected to Peak on Thanksgiving Day
Thanksgiving is a great day. And thanks to retailers who insist on getting a jump on Christmas sales, it’s also a great day to shop. Unfortunately, it’s also a great day to use a stolen credit card. ACI published an analysis which suggests this Thanksgiving there could be a little less to be thankful for […]
Fallback Fraud is Falling Fast in 2018
In 2017, Fallback fraud was the fastest growing fraud type for card issuers in the United States. In 2018, Card issuers improved their fraud strategies and monitoring and have been able to curtail this fast growing type of fraud. FallBack Fraud Spiked After Chip Implementation in the US According to Auriemma, card issuers reported that […]
19 Banks Hit with Phantom Auto Loan Fraud Scam
Credit Unions continued to get pounded by auto lending fraud. Just this week the Department of Justice revealed a massive auto loan scheme that targeted credit unions – DOJ Phantom Loan Scheme. A federal jury in Charlotte returned a guilty verdict late yesterday against Kimberlie L. Flemings, 49, of Mt. Holly, N.C. for her role […]
Synthetic Identity Fraud in Cards to Hit $1.2 Billion Soon
Card fraud is getting a boost, thanks to criminals that have shifted their focus from counterfeiting plastics to counterfeiting identities. Aite published analysis that suggest that synthetic identity fraud is growing at a rate of about 20% every year on card portfolios. By 2020 it is expected that card issuers will lose about $1.2 billion […]
Fraudster receives 18 months in Prison for Using CPN’s
Calvin Wayne Cade Jr of Oklahoma City, has been sentenced to eighteen months in prison for using credit profile numbers, or CPNs, to falsely report his Social Security Number in credit applications. According to charges filed in November 2017, Cade used CPNs, also known as “credit privacy numbers” or “credit protection numbers,” instead of his own […]
Banks Start Name Checks To Stop Transfer Fraud
UK Banks are implementing a new technique to stop some of the most basic money transfer fraud schemes. Currently, if a consumer wants to transfer money, they are asked for the recipient’s account name, account number, and sort code. However, banks do not currently check if the account name is correct. And this leads to […]
Rappers Attorney Busted for Check Fraud
If you think check fraud in on the decline, think again. In fact, it’s worse than ever thanks to all the scammers sending people bad checks. But one case in particular caught my eye – Suge Knights attorney Thaddeus Culpepper was just busted for cashing $1 million in stolen federal tax return checks. Now this […]
Synthetic Identity Up 500% in Auto Lending Since 2011
Synthetic Identity is a big problem for auto lenders. But I didn’t realize how big a problem it was until I read this eye popping report from Chicago based Trans Union. According the report, synthetic identity fraud is not only rising year over year but looking back over the last 7 years has seen a […]
By Next Year 50% Of All Calls Will Be From Fraud Scammers
When was the last time you got a Robo Call? How about a call from an IRS Scammer or even one of those calls in Chinese meant for someone else? If you’re like me, you probably get them just about every day and it just seems to be getting worse. One Company Has Discovered That […]
Who Wants to Be A Millionaire Major Fraud
Every so often there is a story of fraud and greed that is so interesting that I just have to share it. About 15 years, one particular story caught my eye. This is a story how a family almost cheated the show “Who Wants To Be A Millionaire” out of $1 Million Dollars. This is […]
Mortgage Fraud Rises to Highest Level in Years
Fraud on new mortgage applications took a dramatic spike over the last quarter resulting in the highest level of fraud in over 7 years. CoreLogic released their quarterly fraud index which tracks the fraud risk of applications submitted by lenders that use their fraud detection systems. According to the Mortgage Fraud Report, there was a […]
Car Dealer Slapped With Massive Fine for Loan Fraud
Hallman Chevrolet in PA was slapped with a massive $2 million dollar fine for loan fraud this week. If you factor in the average profit they might make from selling a car of $2,000 that means that the dealership is going to have to sell about 1,000 cars to make up for the huge fine […]
4 Ways Lenders Use Open Banking to Stop Fraud
Open Banking is a trend that is changing the fraud detection landscape. When people refer to this term it refers to the use of Open APIs that enable third-party developers to build applications and services around the financial institution. The concept of this type of thing was really popularized by Steve Jobs and Apple Computer. When he […]
Using A CPN Is A Fraud and A Crime
It’s called a CPN which stands for Credit Privacy Number. A CPN claims to be a nine-digit identifying number that you can use instead of your Social Security number to protect your privacy on credit documents. But using a CPN, instead of your real social security number to apply for loan or credit card can spell […]
About-Fraud Makes Sense of The Many Fraud Tools
Fraud Managers must manage many risk on a day to day basis. It can be a bit mind boggling when you think about it. Check out all of the different risk that fraud managers are faced with every day. As part of managing that risk they are constantly evaluating new tools and technology to help […]
How To Use Your Phone To Detect Skimmers
The secret service issued a warning to consumers to be on the lookout for skimming devices at gas pumps this 4th of July. The scam is on the increase and it involves crooks implementing a card reading device on top of the gas stations pumps that can intercept the details from the magnetic strip and […]
Serial Fraudster Racks Up $30 Million In Luxury Auto Fraud
He was an FBI informant, once testified against the Russian mob, and his spare time was a serial fraudster. Albert “Alex” Golant was born in Belarus Russia and moved to Wisconsin at a young age. To make money he would eventually become a prolific car broker and high stakes gambler, only his schemes were not […]
Auto Lender Hit With Phantom Auto Loan Fraud
In 2015, the US Office of Personnel Management (OPM) was involved in the largest hack against Government employees in history. The hackers made off with 21.5 million records. That data included social security numbers, fingerprints, usernames, passwords and other personal data from government employees. The OPM apparently awarded ID Experts $133 Million to protect the identities of those government […]
Auto Lenders Address Rising Fraud
An article written by Matt Wood in Auto Finance News highlighted some of the rising fraud trends that we are seeing in auto lending. Different forms of fraud are rising in the auto industry and are presenting lenders with challenges as fraudsters continue to grow smarter, Frank McKenna, chief fraud strategist at artificial intelligence solutions […]
The Moment Visa Crashed Captured on Video
https://twitter.com/twitter/statuses/1002631835577397248 In all seriousness, Visa identified the issue as a hardware problem that caused messages back to the Chip Card from Visa to fail. What a day. One of the worst payment outages in history. How many of you fraud analyst have ever written a rule that declines too many transactions? Can you imagine if […]
3 Lenders Profits Hit Hard By Same Insider Fraud
American Banker reported that 3 separate lenders warned of massive profit hits suffered as a result of a single commercial loan fraud scheme. The lenders; Fulton Financial, Univest, and Franklin Financial all submitted separate regulatory filings warning that their 2nd Quarter profits were going to take a significant hit as a result of write downs […]