Document Verification: How to Spot Counterfeit IDs and Avoid Fraud
Learn how to spot counterfeit IDs and avoid fraud. This article provides tips on checking security features, comparing info, watching for alterations, verifying ID numbers, asking questions, requiring multiple IDs, running background checks, and trusting your instincts.
Even a few years ago, the number of identity frauds was less mainly because the customer onboarding usually happened in a physical location, mostly in the branches of the financial institutions. Now that almost all the industries support online onboarding of new customers, it has become easier for fraudsters to fake documents, making it challenging to detect forged document verification and recover loans from defaulters.
Checking Security Features:
Most government-issued IDs contain security features that are difficult to duplicate. These include holograms, watermarks, raised text, ghost images, and more. Take time to closely examine any IDs presented to you and look for missing or lower-quality security elements. Run your finger over the document – can you feel engraved text and images? Tilt the ID back and forth – does it have a hologram that changes color and image? Examine the edges and feel for glue lines or other indications of tampering. The more you familiarize yourself with real IDs, the easier it will be to detect when something is off.
Comparing Information:
Does the photo match the person standing in front of you? Do the signatures match? What about height, weight, and other descriptors? Carefully cross-check everything on the ID with the person presenting it. Criminals often use valid numbers paired with incorrect names and photos. So even if the ID number checks out, other mismatches could indicate forgery. Always verify multiple points of information whenever possible.
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Questionable Alterations:
Take a close look at the ID for any signs of alteration. Things like scratched out text, misaligned elements, or uneven lamination could suggest someone has modified the document. Smudged ink, damaged edges or corners, and spelling errors are other warning signs. Even slight variations from a normal ID should raise suspicion.
Checking ID Numbers:
An ID number that follows certain patterns can validate the document is real. Driver’s license and state ID numbers use particular formats for each state. For example, licenses from Arizona start with an “A” while Wisconsin DLs start with a “W”. Run numbers through online kyc verification tools or call the issuing agency directly to double check validity. Keep in mind that stolen identities still use real ID numbers, so this cannot be your only checkpoint.
Asking Questions:
Don’t be afraid to politely ask questions to gauge if the person matches the document they provide. What is your current address? What city were you born in? When does your license expire? Criminals may stumble over basic facts related to their fake identity. However, avoid any questions that could be perceived as discriminatory.
Requesting Multiple Forms of ID:
For big transactions, require multiple forms of identification. Cross-check a state ID with a credit card and insurance card in the same name. Or have them provide a secondary piece like a social security card or recent utility bill. The more corroborating documents, the harder it is for someone to fake their way through the process.
Running Background Checks:
Many businesses and landlords are turning to services to screen tenants or new hires. Online tools like CheckPeople or TruthFinder allow you to input a name and other details to search for red flags indicating possible fraud. Look for address history, aliases, criminal records, and other information that may contradict what an applicant reported.
Trusting Your Instincts:
Sometimes even following all the proper protocol leaves you with a gut feeling something isn’t right. Don’t ignore your natural instincts and rational doubts. Politely decline services and if needed, report suspicious activities to the proper authorities. Protecting your business, employees, and customers should be the top priority.
By taking time to carefully inspect documents and thoroughly vet identities, you have a much better chance of avoiding scams. Get familiar with security features, watch for alterations, cross-check information, and run background screenings whenever warranted. If an ID seems questionable, don’t hesitate to speak up. With more awareness and diligence, businesses can lower their risk of being victims of document fraud.
