Synthetic identity fraud represents one of the most sophisticated threats facing commercial lenders today. Unlike traditional identity theft, synthetic fraud involves creating entirely fictitious identities by combining real Social Security Numbers with fabricated personal information. Fraudsters often use SSNs from children or deceased individuals, pairing them with fake names, addresses, and dates of birth to create identities that appear legitimate on the surface.
The attack follows a calculated pattern. First, the synthetic identity enters your system through standard application channels, creating what appears to be a legitimate lead or contact record. The fraudster then uses this identity to build a credit history over months or years, making small purchases and on-time payments to establish credibility with credit bureaus. Finally, in what's known as the "bust-out," they maximize all available credit lines and disappear, leaving lenders with significant losses and no real person to pursue.
Traditional credit checks cannot defend against this threat because they evaluate creditworthiness, not identity authenticity. This is where modern identity verification becomes essential. LASER's COMPLY engine integrates Plaid IDV to verify applicants against authoritative data sources, authenticate government-issued IDs through biometric analysis, and confirm liveness to prevent photo or video spoofing. Every applicant record in your Salesforce system is validated as a real, verified individual before entering your lending workflow.
Protection continues beyond onboarding through continuous monitoring. Plaid Monitor screens your customer database against global watchlists and fraud indicators throughout the client lifecycle. If an SSN appears on fraud databases or exhibits suspicious activity, automated alerts enable immediate action within your Salesforce environment. This multi-layered approach transforms fraud prevention from reactive damage control into proactive risk management, enabling you to lend with confidence and clarity.