Reading Time | < 1 min

Identity fraud on the up

Share this article

There was an increase in the number of attempts to take out loans using stolen identities last year, according to new figures.

The study, carried out by Experian, found that seven in every 10,000 loan applications were fraudulent, while insurance fraud was up by 11 per cent.

Attempts at mortgage fraud climbed by 14 per cent.

Nick Mothershaw, director of Identity and Fraud at Experian, said: “Fraud in the UK is a growing billion-pound illegal business, with fraudsters resorting to innovation and inventiveness to target any perceived weaknesses in the system.

“Fuelled by the recession’s aftermath, it is likely that financial service providers could see fraud attempts rise during 2011. Organisations must ensure they have the right defences in place while still being able to provide the convenience and experience genuine customers expect.”