Veriff Report: One in 20 Online Identity Verification Attempts in Financial Services is Fraudulent
As the Deepfake-Laden Threat Landscape Becomes Increasingly Formidable, Report Offers Financial Services Firms a Compass for the Future
New York, June 24, 2025 (GLOBE NEWSWIRE) -- Online identity verification fraud in financial services is growing hand-in-hand with the increasing sophistication of AI-powered tools. Not only has there been a 21% rise in online identity fraud year-over-year (one in 20 verification attempts are now fraudulent), but it’s also getting personal: over the last year, more than one-third of U.S. consumers have experienced some kind of non-refundable financial loss from fraud.
These are just a few of the findings from Veriff’s annual report titled “The Future of Finance.” By combining the company’s own in-house data (included in the Veriff Identity Fraud Report) with front-line perspectives (including both fraud professionals via the company’s U.S. Fraud Industry Pulse Survey, as well as consumers via its Fraud Index), “The Future of Finance” reveals key insights into the current state of affairs and suggests future directions.
“Various bodies of industry research universally point to a skyrocketing increase in deepfake incidents across categories, including fraud,” says Ira Bondar, Senior Fraud Group Manager at Veriff. “In the first quarter of 2025 alone, for instance, the number of reported deepfake fraud incidents nearly matched the total from 2024. Deepfakes are an insidious threat, and we are now officially in an age when it’s becoming nearly impossible for the naked eye to distinguish what’s real from what’s not, creating great peril for both financial services firms and consumers.”
Among the findings in the “Future of Finance”:
- 82% of consumers will not sign up on a financial services platform if they are not confident in the organization’s fraud defenses; and 38% of consumers picked biometrics as their #1 choice to protect their interactions, with facial recognition being the most popular biometric option;
- Over 60% of firms reported an increase in the use of AI in attacks. On the other hand, cybersecurity professionals also see the potential it offers to strengthen their defenses, with almost two-thirds of U.S. respondents (64%) already using AI/machine learning in fraud prevention, and another 20% planning to do so in the next 12 months; and
- 89% of senior fraud decision-makers in financial services expect to see more fraud in 2025, driven mainly by AI.
“Our report collates a wide variety of research to present a clear picture of how financial services organizations - from traditional banks, to agile neobanks and fast-growing cryptocurrency, fintech and payments platforms - should consider approaching the daunting challenges of the coming years,” continues Bondar. “Identity verification, biometrics, and AI hold the keys to financial services firms keeping their customers satisfied and highly secure, while also meeting compliance requirements.”
To access the full report, visit here.
About Veriff
Veriff is a global identity verification platform helping businesses build trust online. Our AI-native technology combines automation and human expertise to quickly and accurately verify users worldwide with minimal friction. Trusted by leading companies like Blockchain, Bolt, Deel, Monzo, Starship, Trustpilot, and Webull across finance, marketplaces, mobility, gaming, and other industries. Our trust infrastructure helps businesses stay compliant, prevent fraud, protect users, and scale globally, enabling a safer, more transparent internet for everyone.
Veriff press@veriff.com
Legal Disclaimer:
EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.
