Identity thieves targeted as CommBank trial proves successful

Scams are costing Aussies billions of dollars a year but criminals trying to steal your identity now have a new barrier to overcome.

Identity theft can be a nightmare to recover from. Picture: iStock

Identity thieves are being stopped in real time as Australia’s biggest bank steps up the fight against fraudsters.

Just one month after it expanded a scam detection partnership with Telstra, the Commonwealth Bank has finished trialling new ID protection technology and launched a new app.

CommBank-owned app Truyu spots when a company is running a standard identity check – which usually happens in the background when opening accounts or phone plans – on a person and immediately informs them.

Since its pilot started in May, its 6000-plus customers received 1000 identity alerts, both authorised and unauthorised, Truyu managing director Mel Hayden said.

“Identity fraud is a big problem in Australia, with 199,100 reported cases in the last year,” she said.

“We know identity fraud incidences are higher if you’ve been in a data breach, and it’s true we are seeing more data and more breaches – the Office of the Australian Information Commissioner just reported the first six months of the year had the most data breaches in its reporting history.”

Truyu managing director Melanie Hayden says the technology could be spotting scams early.

Government figures show 1.8 million people experienced card fraud in 2022-23, and Australians lost $2.7bn to scams last year. People’s private data can end up on the dark web where criminals access bank accounts or take out credit cards, loans and other products in their name.

Identity fraud hit Amanda Mac, 52, three years ago when cash was taken from her bank account and the criminal bought jewellery in Israel and soccer tickets in Britain all within one hour.

“It made me feel very vulnerable, and I was worried for months wondering what else would get opened in my name,” she said.

“It was a real hassle, and I spent countless hours over several months having to change my ID including my driving licence number, Centrelink customer reference number and Working with Children check.”

Amanda Mac was targeted by identity thieves. Picture: Supplied

Ms Mac said she believed her identity was stolen after her credit card was skimmed at a petrol station.

“It seems like it’s getting easier to have your identity stolen,” she said, adding that the key for consumers was to be vigilant and use protection tools where possible.

Truyu’s three-month trial was deemed a success, and it now costs $4.99 a month via the Apple and Google app store.

Ms Hayden said it already had prevented major cases of fraud, and this enabled consumers to change their details to prevent future identity theft.

“We also think we could be picking up fraud earlier than was possible previously,” she said.

“If someone opened a bank loan in your name you would eventually find out. With Truyu, you find out that someone is using your identity – for example signing up with a passport or driver’s licence – in the moment the identity check is being conducted.”

Ms Hayden said consumers could help protect themselves by using multi-factor authentication wherever possible, checking their transactions, having strong passwords and shredding important documents.

Last month CommBank and Telstra expanded their Scam Indicator technology, which uses AI and data science to detect scam phone calls in real time.

Australian Banking Association acting CEO Vanessa Beggs said more cutting-edge technology was being deployed to combat identity theft and scams.

“Banks are introducing biometric checks to help verify the identity of people trying to open-up new accounts,” she said.

“This could involve checking a customer’s face or fingerprint to help verify their identity.”

Originally published as Identity thieves targeted as CommBank trial proves successful