Identity theft major contributer to frauds in country: Report

Identity theft or fictitious identity cases contribute to around three-fourths of all detected fraud cases related to financial products in the country, a report said.
"Amongst various financial products, auto loans, mortgage loans and credit cards have seen the largest number of fraud cases from identity theft, represented by 85 per cent of the total detected frauds in the first quarter of 2015," data and analytical tools service provider Experian said in a report.
The category has observed a rise from 76 per cent in first quarter of 2014 to 77 per cent in the corresponding period of 2015.
The report is based on the trends in fraud cases that occurred between Q1-2014 to Q1-2015.

"With the rise of social media and information shared in the public, identity fraud continues to be a threat to the industry. Individuals need to be alert on the information they share publicly as well as be alert to phishing emails and calls soliciting personal details," said Mohan Jayaraman, managing director, Experian Credit Information Company of India and country manager, Experian India.
The report said frauds due to applicants submitting fraudulent contact information has risen by 3 per cent, contributing to 18 per cent of all detected frauds.

Amongst all financial products, consumer loans continue to record the highest fraud incidence rates, followed by credit cards, the report said.

The mortgage portfolio witnessed a 50 per cent increase in fraud incidence rate in the period.
"Falsification of address proof is the most popular behaviour seen amongst fraudsters, and hiding of adverse credit is the most common behaviour especially in the automotive loan category, followed by mortgage fraud," the report noted.