New Account Fraud
Overview
New account fraud occurs when criminals use stolen or synthetic identities to open financial accounts for fraudulent purposes. It is often a precursor to money laundering, mule activity, or credit abuse. With digital onboarding, fraudsters exploit weaknesses in KYC processes to create accounts that appear legitimate.Financial institutions combat new account fraud with identity verification, device fingerprinting, behavioral biometrics, and fraud scoring. Regulators expect robust controls to prevent fraudulent onboarding, as it exposes institutions to compliance breaches and reputational harm. Preventing new account fraud is critical for banks, fintechs, and payment providers as they expand digital channels.
Stay ahead of risk with Signzy
Explore tools that help you onboard, monitor, and verify with confidence
Transaction Monitoring
Real-time transaction monitoring and analysis to identify suspicious activities and ensure regulatory compliance across all financial operations.
Biometric Verification
Authenticate users securely using facial, fingerprint, or liveness biometrics powered by AI. Prevent identity spoofing and stay compliant.
Database Verification
Verify user information instantly by connecting to trusted databases across jurisdictions. Ensure accuracy, compliance, and faster onboarding with real-time data checks.
