Fed adds resources to ID fraud mitigation toolkit

As instances of synthetic identity fraud—through which fraudsters create new identities out of pieces of real or fictitious information—become more prevalent, the Federal Reserve this week updated its toolkit of resources to help banks and consumers mitigate risks associated with these types of fraud.

The updates include two new modules on how technology enhances fraud detection and on fraud data strategy and information sharing. Other resources in the toolkit address the basics of synthetic identity fraud, how fraudsters use synthetic identities and how to identify synthetic identities.