Fraud vs Identity Theft

Fewer than 40% of internal audit leaders believe their internal audit function is adequately prepared to detect AI-enabled fraud.

58% of internal audit leaders view AI-enabled fraud as a moderate risk.

40% of internal audit functions support awareness or training initiatives related to AI-enabled fraud.

38% of internal audit functions test or strengthen fraud prevention and detection.

45% of internal audit leaders identify deepfake audio or video impersonation as a leading AI-enabled fraud threat.

29% of internal audit leaders are concerned about forged contracts or legal documents created using AI.

55% of internal audit leaders identify insufficient staff with relevant skills or expertise as a primary barrier to improving AI-enabled fraud preparedness.

43% of internal audit leaders cite competing organizational priorities as a barrier to AI-specific risk management efforts.

43% of internal audit leaders cite insufficient time to dedicate to AI-specific risk management efforts.

65% of internal audit leaders identify fabricated invoices or financial documents as a leading AI-enabled fraud threat.

41% of internal audit leaders are concerned about the use of AI to insert malicious code.

27% of internal audit leaders view AI-enabled fraud as a high risk.

57% of internal audit functions currently assess control weaknesses that enable fraud.

26% of internal audit functions investigate and document AI's role in fraud incidents.

58% of internal audit leaders identify automated social engineering as a leading AI-enabled fraud threat.

27% of internal audit leaders are concerned about synthetic identity fraud enabled by AI.

40% of consumers worry most about identity theft.

Nearly 60% of organizations report fraudsters using compromised Personally Identifiable Information (PII) to bypass knowledge-based authentication (KBA).

The Identity Theft Resource Center tracks 3,322 data compromises in 2025 (2025)

41% of IT, cybersecurity, risk, and fraud leaders reported that their company has hired and onboarded a fraudulent candidate.

88% of organizations encounter deepfake or impersonation attacks at least occasionally.

Only 28% of IT, cybersecurity, risk, and fraud leaders consider deepfake-resistant verification tools a priority for identity and access management modernization.

52% of IT, cybersecurity, risk, and fraud leaders are definitely rethinking identity and access management strategies to address AI-driven identity threats.

40% of IT, cybersecurity, risk, and fraud leaders believe their current defenses against AI-driven identity attacks are definitely adequate.

More than 80% of IT, cybersecurity, risk, and fraud leaders rely on phone and video to confirm identities.

45% of IT, cybersecurity, risk, and fraud leaders reported that deepfake or impersonation attacks are frequent occurrences in their organizations.

48% of UK consumers express concern about the risk of fraud or identity theft related to AI in banking.

44% of organizations in the financial services industry ranked synthetic identity fraud as the top fraud type tracked.

30% of banks reported that they face synthetic identity fraud, which blends fake and real personal data to bypass verification.

44.7% of Americans delete or abandon mobile apps over concerns about identity theft.