The U.S. payment system faces dynamic, persistent, and rapidly escalating threats. Technological advances in cybercrime make payments and synthetic identity frauds easier than ever to commit.
Since 2015, the Federal Reserve has collaborated with many industry stakeholders to improve U.S. payments security. This effort aligns with approaches described in our paper, Strategies for Improving the U.S. Payment System: Federal Reserve Next Steps in the Payments Improvement Journey.
Criminals can use synthetic identities to deceive government or corporate systems into recognizing them as real people. This can create far-reaching impacts across the U.S. financial system, healthcare industry, government entities, and individual consumers.
People sometimes use synthetic identities without criminal intent. However, criminals can use them to steal funds, escape detection, or facilitate drug and human trafficking. Synthetic identities have also been linked to crime rings, including groups that fund terrorism.
For Full Report Please Visit: https://fedpaymentsimprovement.org/wp-content/uploads/frs-synthetic-identity-payments-fraud-white-paper-july-2019.pdf
