Synthetic Fraud FAQ

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  • How can synthetic fraud affect your business?

    • The most effective way to identify synthetic fraud is thorough due diligence. This may include the use of a technology solution. This can lead to reputation damage, the community being targeted as an “easy-to-get-into property” and lead to a rise in bad debt.

  • Are there new fraud trends post-pandemic?

    • The rise in online applications exploded as more transactions became digital, giving rise to synthetic fraud. 

  • What are best defenses against synthetic fraudsters? Are there technologies or practices that might help better protect my organization?

    • The most effective way to fight fraud is through technology. Make sure you have a fraud mitigation solution as your first step prior to completing a background screening. Many background screening providers now offer a fraud solution.

  • How can you protect against synthetic fraud when states/localities limit background checks?

    • Fraud checks are not background checks and cannot be used for decision-making purposes. Fraud checks can alert you to potentially risky applicants. Asking for additional documentation from such applicants may alert them and cause them to abandon the process.

  • What to do if you suspect synthetic fraud?

    • If you suspect fraudulent information on an application, you can ask the prospective resident for more information and back-up data such as cellphone or utility bills. 

  • What steps can I take to proactively monitor my own credit profile and identity?

    • There are numerous services to help you monitor your own credit profile. The credit reporting agencies like TransUnion, Equifax and Experian all offer services such as credit report alerts, credit monitoring, credit freezes and locks to make it more difficult for a fraudster to access your information.

 

For more information about synthetic fraud, visit our website for information about best practices and to view our webinar recording.