Identity theft in Peruvian companies: How to avoid them?

Marta Reyes
3 min readMay 8, 2024

Identity theft attempts in Peru represent 10% of transactions in companies, according to data from Sovos.

Technology has transformed the way companies operate, but it has also opened new doors for criminals. In Peru, identity theft has become a growing risk, affecting companies in various sectors.

According to RENIEC data, from 2020 to date, a total of 923 identity theft attempts have been blocked in DNI registrations. These cases, for the most part, are linked to the use of information from deceased people to process documents.

“Criminals take advantage of vulnerabilities in the technologies used by companies, whether new or legacy, to carry out these attacks. In Peru, identity theft attempts through the use of altered documents represent 10% of the digital transactions of companies that use our services, which we manage to detect and stop with our systems,” explains Felipe Sánchez, Verification Product Manager. of Identity in Sovos.

One of the most used technologies for digital identity verification is “face onboarding”, which requires a selfie and the comparison of biometric data on the identity document. This method uses five pillars of security in fraud prevention:

  • Fake ID: Detects the authenticity of identity documents by searching for specific characteristics in the image.
  • Liveness Detection: Ensures that the person behind the camera is real, using computer vision and artificial intelligence to prevent recording or masking.
  • Denial lists: Control people involved in previous fraud through facial or identity document recognition.
  • Integration with government agencies: Validate the validity and authenticity of documents through government records.
  • One face — one identity: Associate a face with a single identity to avoid impersonations.

“In Peru, the financial industry leads the way in the implementation of digital identity verification solutions, using biometrics for operations such as opening bank accounts and granting loans remotely. In addition, some banks have implemented biometric solutions to authenticate their clients at ATMs and mobile applications, improving the security of financial transactions,” comments the Sovos expert.

Fraud reduction in organizations that effectively implement integrated digital identity verification mechanisms can range from 70% to 80%, depending on the industry, the type of verification used, and the quality of the implementation.

“Another important benefit of biometrics is its versatility and applicability in a wide range of scenarios and devices. From facial authentication on smartphones to fingerprint verification at ATMs, digital biometrics can adapt to different contexts and needs, providing a scalable and flexible security solution for companies,” says Daniel Benalcázar, fraud detection expert. in Sovos.

Recommendations to reduce the risk of identity theft
To mitigate the risk of identity theft, Sovos experts recommend companies hire specialized identity verification services and be aware of the latest technologies and regulations, such as the ISO 30107–3 standard, which establishes defense methods against identity theft. spoofing.

Additionally, raise awareness among your teams by following these recommendations:

  • Promote knowledge about risk: To avoid being a victim of identity theft, the first thing companies should do is include it in their risk matrix to manage it properly and define the controls that allow them to mitigate its probability of occurrence or its impact. if it materializes.
  • Verify the source: Always verify the legitimacy of emails, messages or phone calls before providing personal or financial information.
  • Have several layers of security: It is essential to implement several complementary security measures to help reduce the chances that an attack will go undetected.
  • Phishing is a complex challenge that requires comprehensive and up-to-date solutions. With a combination of advanced technology and good security practices, Peruvian companies can protect themselves and maintain the trust of their customers in an increasingly challenging digital environment.