Spotting Fake Bank Statements: How Businesses Can Safeguard Against Fraud
In our digital era, creating forged documents becomes easy. Now, anyone can generate fake image documents and bank statements that no one can find. This kind of tampering technique can increase the risk of fraud and has made lenders more concerned.
According to the statistics, 70% of banks have suffered losses of more than $500,000 in fraud. Suppose you are someone, who is faced with or wants to avoid such fraud. You are on the right page.
Read this blog and learn how to spot fake bank statements. Also, learning how to automate the bank statement verification process helps you.
How Can Business Spot Fake Statements?
Detecting fake bank statements is crucial for protecting your business from fraud and maintaining financial security. Ignoring forged documents can result in serious violations of KYC and AML regulations.
Verify the Bank Statement Source Bank:
This process involves connecting to the source bank to confirm the legitimacy of the bank Statement.
Comparing With The Original Records:
Compare the bank statement with transaction receipts or digital banking records.
Carefully look at the design details:
Authentic bank statements typically contain unique elements such as holograms, distinctive paper designs, holograms, etc.
Sign Of Fake Bank Statement
Usually, Fake bank statements are designed in a way that no one can find alteration.
-
- Look at the Font Size over the entire draft
- Check the type
- Round Numbers
- See the round of the figure
- Check Each Digit In Account Number
- Grammatical Error
- Odd Bank Statement Cycle
- Missing Pages
- Digital Signature
- Margins
- Logo
-
- Inconsistent format
- No digital signatures
Automate your KYC Process & reduce Fraud!
We have helped 200+ companies in reducing Fraud by 95%
How To Detect Fake Bank Statements?
There are two ways you can use to verify false bank statements.
Manual Verification
In the manual fake bank statements verification process people physically review bank statements. This process commonly involves
- Check typographical errors, spelling, addresses, names, etc.
- Format reviews checking type of fonts, and templates.
- Checking the transactional history
- Usually, unusual round figures and incorrect openings give indications about tampering.
Manual verification helps find tampering, today’s criminals are very advanced. So, finding the tampered document takes a lot of work. Fraudsters use AI and Machine learning-like techniques for creating exact copy. Detecting this kind of forged document is not easy. The human eye can’t catch this forgery.
Automated Technology
Using a bank statement verification tool to find false bank statements is beneficial to detecting high-end tampering. This tool uses OCR (Optical Character Recognition) technology to scan, read and verify the fake bank account details. These tools can detect minor forgeries like margins, layout, design, and logos of fake bank statements by comparing them with authentic statements. Tools are highly accurate and provide surety in fake bank account balances.
Benefits Of Using Tools To Detect False Bank Statements
- Adds Efficiency: Manual verification is time-consuming, adding a tool also adds automation and increases overall efficiency.
- Accuracy: A tool is more advanced to find minor alterations in the fake bank details.
- High Accuracy Rate: Verified data undergoes automatic verification and is then sent to humans.
Fake Bank Statement Consequences
- Financial Risk
According to the rules if the bank fails to detect forgery both the bank and the fraudster can face regulatory fines.
- Legal Consequences
Lenders can take legal action if they find fake bank statements. If a fraudster submits a tampered document, they have to go to court and could be ordered to repay the money with additional penalties.
Surepass Bank Statement Analyzer To Spot Fake Bank Statement
Surepass offers a bank statement analyzer tool that uses AI and machine learning technology. This tool can detect fake account details in real time. It is very easy to use this tool by simply uploading the bank statement to the API. The AI technology scans the statement automatically and finds fraudulent bank statements. If it detects any fake bank account transactions and fake account details. It will notify you. You can easily integrate this API into your existing business system for bank account verification. Apart from the bank statement API, Surepass offers many other useful APIs for KYC, CDD and background verification.
FAQs
1. Is There A Way To Verify Bank Statements?
Asking for a physical copy and connecting to the bank representative is the right step to detect fake bank details. Digital copies are easy to forge and many fake banks are available confirming that legitimacy is required.
2. Can I Submit A Fake Bank Statement?
Submitting false bank statements in loan applications can have serious consequences for borrowers and lenders. They can face legal penalties.
3. How To Spot A Fake Proof Of Payment?
You have two options: manually verify the fake bank statement by checking typos, fonts, margins, etc. Or you can use automated tools to spot fake bank account details.
4. Can Fake Bank Statements Be Verified By HR?
HR can attempt to verify the false bank statements by checking spelling mistakes, inconsistent fonts, and misaligned text. However, OCR and AI tools are a better choice for accurate verification.
Sanidhya Arora
Sanidhya is a dynamic individual with a passion for Marketing/Branding. With 1.8 years of experience, He has demonstrated expertise in SEO and social media handling. He is known for dedication towards his work, and his dedication and commitment have led to successful outcomes. A lifelong learner, he continues to expand his knowledge and skills to stay at the forefront of Marketing industry. Sanidhya is driven by a strong desire to make a positive impact.
More posts by Sanidhya Arora