AI to prevent identity fraud

From customer identification to the prevention of consumer fraud

Identity fraud has become a serious threat in Germany and worldwide. The perpetrators are highly professional and the losses for citizens and merchants are considerable. For Germany, these are estimated to be worth between 1.3 and 2.9 billion euros per year.

Fraud prevention systems in companies are still 90% based on manual checks, the need to catch up is correspondingly high and is exacerbated by the current corona crisis for many companies, as it is leading to a significant shift of business relationships into the cyber area.

In this study, we analyze "good practices" for the fast, automated and AI-based verification of customer identities and online transactions. The aim is to identify and analyze scalable processes and solutions and their possible applications.

The study provides insights into:

  • The solutions available on the market
  • The main fields of application of AI, the data basis and models
  • Quality assurance procedures
  • Customer interaction with the solutions available on the market
  • Advantages of the use of AI
  • Future potential of AI and challenges for AI in fraud detection