SYDNEY, NSW, Australia—A credit analytics firm is reporting that $1.9-billion worth of credit applications in Australia during 2013-2014 are “high risk” and have “potential links to known fraud events.
The Adviser reported that the firm, Veda, said that represents a 52% increase in suspicious applications in the country. Credit growth over the same period is up 40%. The company said credit applications are red-flagged, or highlighted for further investigation, if the applicant’s address or driver’s license or other details are associated with a previous fraud.”
A spokesperson for Vedia said many lenders, including banks, credit unions, payday lenders and others, remain unaware of the links to possible fraud, and that fraudsters were constantly changing their points of attack on credit providers.
“While the mode of fraud may change, the individuals perpetuating fraud are often the same,” the spokesperson told the Adviser.