Credit Fraud in a Modern Way

Financial bottleneck, urgent acquisition, unexpectedly high bill – the reasons to borrow are manifold. As a rule, the credit line will be used , if available, or else it will go to the house bank. Should it be particularly fast, the Internet with its seemingly endless variety of online loan offers is often the first choice. But what if the much-needed loan is denied? Because, for example, the SCHUFA information signals a possible loan default? Or because your own income in relation to the desired loan amount is not high enough?

Special care with “credit without proof of income” offers

 Special care with "credit without proof of income" offers

With such a rejection of a loan and the consequent disappointment and despair loaded, consumers see their salvation again and again in loan offers from the Internet, which are “even in the most difficult credit”, “credit without proof of income” and other rosy credit pledges. Anyone who, despite his financial despair, is marked by a supposedly hopelessness, sees the loan of the famous “light at the end of the tunnel” in such loan offers. A circumstance that is exploited by people with fraudulent intentions with the help of the internet and modern technologies. These fraudsters are also increasingly using modern technologies to get closer to their goal of a credit fraud or to bring financial success. The supposedly uncomplicated loans from the internet turn out to be sophisticated credit traps.

Danger of fraud on credit through “fake” identity checks

 Danger of fraud on credit through "fake" identity checks

The latest scam? The use of the quite common Video-Ident method. More and more frequently, credit offers are appearing on the Internet, potentially addressing loan seekers with the promise of a “quick loan without proof of income” already mentioned. What follows is well known: A simple online form with some details must be filled in and a loan commitment is promised within 24 hours. The commitment is usually within a few hours. What follows, however, is a novelty: For the alleged loan provider asks the borrower to download an app that allows a so-called video ident, ie the visual statement of personal identity. In doing so, the fraudsters use a law according to which, when granting a loan, the determination of the identity of the borrower is absolutely necessary. Since the video ident is legally the same as the traditional post-ID procedure and also has a certain acceptance on the market, many people do not suspect fraud. In addition, the Video-Ident procedure promises that the requested loan will be paid out immediately upon execution.

Identity theft allows fraud and money laundering

 Identity theft allows fraud and money laundering

But what follows then is what the supposed providers of such loans really have in mind: the capture of personal data and screenshots of appropriate identity documents. Data that can be used to “make money” in many ways. Because with this data and the photos taken over the APP of the face of the thoughtless borrower then often, without the knowledge of the person concerned, several online accounts opened at various banks. These accounts in turn use the fraudsters over several months for various money transfers. Deposits on these accounts, in turn, come from bona fide buyers of actually non-existent items from “fake” sales platforms / auctions. If these platforms and the associated accounts fly up, then the “bad” awakening follows for the supposed account holder. From a criminal-technical point of view, the account holder fulfills the criminal offense of a financial agent by the alleged “provision” of an account for fraudulent payment transactions ( more on the subject of “financial agents” here ). Although this scam is not entirely new, it appears that the fraudsters repeatedly succeed in establishing foreign bank accounts by means of the video identification procedure in order to transfer funds from criminal offenses to foreign countries in most cases.

Is Video-Ident generally rejected for fraud?

 Is Video-Ident generally rejected for fraud?

Does the question arise as to whether generally credit offers, in whose processing process the video-identification procedure is offered, should generally be avoided? No – certainly not, because the procedure itself is not without reason recognized as such legally and meanwhile also comprehensively in use. However, it should be clearly stated that downloading an APP is NOT REQUIRED to perform the video ident. In addition, reputable websites clearly point out the provider of the Video-Ident method and explain in detail how this process works in detail. As a result, most banks, credit institutions, etc. continue to have the option – in addition to the fast and modern video identification procedure – of proving their own identity by means of a classic post-ID procedure.