The December 2022 Aite-Novarica Group report highlights that application fraud remains a major challenge for financial institutions due to widespread availability of stolen identity data on the dark web. Online channels carry the highest fraud risk, with checking account fraud rates 2.5 times higher than branch channels and credit card fraud rates at 18% online versus 1% elsewhere. Despite rising attacks, improved control frameworks have reduced costly manual review rates. Most institutions plan to change application risk assessment solutions within two years to better combat evolving threats while improving customer experiences.

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