One of the main ways Canadian lenders can help minimize risk, prevent identity theft and protect your business is to educate your clients on how to spot identity fraud as well as the measures they can take to help lower risk and exposure to potential fraudsters. 

According to a recent Equifax Canada survey for Fraud Prevention Month, Canadians of all generations), governments, lenders and other financial institutions can all play a part and take an active role in helping prevent identity theft and fraud before it happens. 

Younger generations are less concerned

Only 29 per cent of Gen Z (adults aged 18-24) are more likely to say identity theft is not likely to happen to them. This is compared to 16 per cent of the general population who are more concerned about being victims of identity theft. In fact, 75 per cent of Gen Z agree that fraud and identity theft are serious issues. 

Identity theft can happen anywhere

Our survey also finds that fear and vulnerability are stronger for older generations whether it’s online, on-the-go, at home or in-store. Importantly, there is substantial recognition that you can be quite vulnerable online, which is consistent across the generations. However, Gen Z is once again less concerned.

As online shopping increases, so does vulnerability

Although identity theft can happen anywhere, as the world becomes more digitized, the risks of fraud also increase. Two-factor verification is one way to help protect yourself and your clients against identity theft. 

Two-factor authentication (a method of verifying a person’s identity by using an additional factor such as sending a PIN via email or text) is becoming more popular with 35 per cent of consumers using it now versus 26 per cent two years ago. 

Canadians are taking action against identity fraud

Seventy-seven per cent of Canadians are taking multiple steps to protect their personal information. “It’s encouraging to see more people recognizing the need to better protect their personal information,” said Julie Kuzmic, Equifax Canada’s Senior Compliance Officer, Consumer Advocacy. “Consumers seem to be realizing it’s in their interest to play a more active role in protecting their personal data.”

Checking their credit report can help spot potential fraud

All generations and companies of all sizes should be doing their utmost to prevent and detect these crimes. One of the best ways for consumers to do this is to routinely check their credit report for any suspicious activity. 

Encouraging clients to check their credit report to ensure all information is being reported accurately, is an important way for lenders to help prevent identity fraud in your business. If your clients would like to place an alert on their Equifax credit report, they can learn how to do so on our website.

We want to help Canadians live their financial best. If you want to learn more about how understanding fraud trends can help acquire more customers, minimize portfolio risk and reduce loss related to fraud, please contact your Equifax Account Representative. You can also reach us directly at 1-855-233-9226 and follow us on Twitter and LinkedIn.  

Source: Equifax Canada Survey for Fraud Prevention Month

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