Seniors and Quebecers Report the Greatest Fraud Concerns
– Equifax Canada Market Pulse Fraud Trends and Consumer Survey Report –
TORONTO, March 04, 2025 (GLOBE NEWSWIRE) — Concerns about fraud are escalating among Canadians, with a new Equifax Canada survey* conducted ahead of Fraud Prevention Month revealing that 89 per cent of those surveyed believe companies must do more to protect personal data. Seniors and Quebec residents are particularly worried, demanding stronger fraud prevention measures and broader fraud education.
Key findings of the survey:
- More than half (55 per cent) of respondents believe identity thieves will always be one step ahead, with 51 per cent unsure of how to respond to fraud.
- Seniors aged 65+ feel most at risk, with 96 per cent agreeing that companies must improve fraud protections, compared to 75 per cent of those aged 18-24.
- Quebec (94 per cent) residents demanded the most action from companies on fraud prevention, while Alberta (86 per cent) was the lowest.
- 64 per cent of respondents recognize that financial fraud fuels serious crimes like human trafficking and illegal weapons trade.
- 58 per cent of respondents struggle to keep up with the latest scams, leaving many feeling vulnerable.
- 48 per cent of respondents personally know someone who has been a victim of identity theft.
“Fraud prevention is a major concern for many Canadians. Research shows that every dollar lost to a fraudster costs individuals and banks significantly more money. Companies must act now to strengthen fraud protection,” said Carl Davies, Head of Fraud & Identity at Equifax Canada. “Canadians, especially older adults, are demanding better safeguards to prevent financial crimes and identity theft.”
The Auto Industry: A Hotspot for Fraud
Auto fraud is a major concern with rates escalating in most provinces, particularly Ontario. According to recent Equifax Canada data, auto application fraud rate in Q4 2024 reached 0.26 per cent, up by 2 bps from Q3 2024 and up 9 bps when compared to 24 months ago. Falsified documents and inflated income are key drivers of first-party fraud in this sector, making up close to 80 per cent of all fraudulent applications. Consumers who are new-to-credit and new-to-Canada had significantly higher auto fraud rates in 2024 than other consumers — more than double the fraud rate that we see from consumers with more established credit files. Auto application fraud rates for those New to Canada/New to Credit in 2024 was 0.51 per cent compared to existing consumers at 0.22 per cent.
Mortgage Fraud is Down but Falsified Financial Documents Remain a Challenge
Equifax Canada is reporting that the Canadian mortgage market continues to slowly rebound from its lows in 2023, demonstrating growth in Q4 2024 with increased new mortgage accounts. Mortgage fraud rates have decreased significantly year-over-year, from 0.46 per cent in Q4 2023 to 0.19 per cent in Q4 2024. Despite this positive trend, falsified financial documents, such as bank statements and down payment information, remain a significant component of mortgage fraud at over 90 per cent. “This decline in fraud rates might be temporary. As interest rates gradually decrease, a potential surge in first-time buyers in 2025 could lead to increased fraudulent activity in mortgage credit applications. Consumers may misrepresent their financial information in an attempt to secure the best possible rates,” Davies warns.
A Call for Stronger Corporate and Government Action
Canadian survey respondents believe financial institutions, businesses, and the government all have a role to play in strengthening fraud prevention measures:
- 88 per cent of respondents believe that both the public and private sectors must work together to combat financial crime
- 84 per cent believe the government must improve public fraud education, with 91 per cent of seniors (65+) strongly agreeing
- 77 per cent recognize the need to take personal steps to safeguard their data, but many feel unprepared
- 61 per cent say banks should implement stronger security protocols
- 59 per cent believe companies should leverage more sophisticated fraud detection tools
Equifax Canada urges Canadians to take active steps in protecting their identities by regularly reviewing their credit reports for unusual activity, enabling multi-factor authentication on sensitive accounts, avoiding public WiFi for financial transactions, educating themselves on new fraud schemes, and consider investing in fraud protection services such as those offered by Equifax Canada.
“As fraud tactics evolve, Canadians must remain vigilant,” added Davies. “By combining stronger corporate policies, government oversight, and personal diligence, we can make strides in fraud prevention.”
* Equifax surveyed 1,590 Canadians ages 18-65, Feb. 7-9. A probability sample of the same size would yield a margin of error of +/- 2.5 per cent, 19 times out of 20.
About Equifax
At Equifax (NYSE: EFX), we believe knowledge drives progress. As a global data, analytics, and technology company, we play an essential role in the global economy by helping financial institutions, companies, employers, and government agencies make critical decisions with greater confidence. Our unique blend of differentiated data, analytics, and cloud technology drives insights to power decisions to move people forward. Headquartered in Atlanta and supported by nearly 15,000 employees worldwide, Equifax operates or has investments in 24 countries in North America, Central and South America, Europe, and the Asia Pacific region. For more information, visit Equifax.ca.
Contact:
Andrew Findlater
SELECT Public Relations
[email protected]
(647) 444-1197
Angie Andich
Equifax Canada Media Relations
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