Fraudulent credit applications against people in their 20s have risen in the last three years, according to a credit checking agency. The proportion of frauds against those under 30 years old has risen by 6pc since 2014, while those aged 50 and up have seen a decrease of 8.4pc over the same period, says Experian.
Nick Mothershaw, Director of Fraud and Identity Solutions at Experian, said: “Our statistics show young people are increasingly falling into the crosshairs of fraudsters, who see them as an easier target to open an account. They are more interested in getting an account open so they can use it for money laundering, or to establish a footprint at the bank for further fraudulent activity.
“Young people are more likely to live their lives online, so there is a good chance they will not be monitoring their post for statements. They often live in accommodation with shared mail areas, which provides an opportunity for fraudsters to intercept their post. Fraud can happen to anyone and it’s important not to get complacent. If you do use online statements then make time to check them each month, and keep an eye on your credit report for unexpected applications.”
The 60-plus cohort has experienced the sharpest decline in fraud attacks, down 5.8pc. Experian suggests they have heeded advice to monitor their statements for suspicious activity, avoided scam emails and used a range of passwords online.
In 2014 that stereotype was supported by statistics, with 17.1pc of frauds perpetrated against people aged 60 and over. But this year, 11.2pc of frauds are against this age group, the biggest single movement of stats related to age.
The credit checking firm suggests that fraudsters’ targets are shifting. Male victims have seen a rise in frauds of 1.6pc, since 2014; the 20-29 years old age group has had a rise of 5.7pc in attacks since 2014; and 28pc of frauds in the UK are against London residents.
Fraudulent applications for current accounts reached 164 in every 10,000 in the second quarter of 2017, up from 128 in every 10,000 between April and June last year. Mortgage fraud rose to 75 from 63 in every 10,000 applications over the same period, although credit card fraud dropped from 48 to 42 in every 10,000 applications year-on-year.
Households struggling to get by on minimal incomes who prefer to deal in cash are becoming a particular target of fraudsters, analysis using Experian’s Financial Strategy Segments (FSS) tool shows. Frauds against this group are up 2.4pc compared to last year and 4.2pc since 2015.
