How to Use OSINT for Fraud Prevention

Open-source intelligence (OSINT) is widely recognized as a key tool in the fight against online fraud. However, its applications are constantly evolving, and staying current with these developments is crucial for organizations looking to enhance their fraud prevention strategies. OSINT has the potential to uncover multiple layers of valuable data, providing critical insights that help detect fraudulent activity before it becomes a serious issue. In this article, we’ll explore how OSINT can be leveraged to bolster fraud prevention efforts and protect businesses from emerging threats across industries like fintech, financial services, online lending, and insurance.

OSINT meaning and history

Open-source intelligence (OSINT) refers to the process of gathering and analyzing publicly available information to generate actionable insights. It originated from military and government intelligence operations, where agencies would collect publicly accessible data to inform strategic decisions. Over time, OSINT has expanded beyond military use, becoming a valuable tool for many industry applications, including fraud prevention, cybersecurity, and risk management.

The significance of OSINT lies in its accessibility. Unlike covert intelligence gathering, OSINT focuses on freely available data from various digital sources—online platforms, news outlets, public records, and more. It doesn't rely on intrusive methods, yet can reveal critical details about individuals, organizations, or incidents. This makes OSINT both powerful and accessible, serving as an essential tool for businesses and industries in need of detailed information for fraud detection, security, and compliance efforts.

In particular, as the digital world has evolved, so has the nature of fraud. New tactics, like synthetic identity fraud and phishing, have emerged, making it crucial for companies to utilize all available resources to stay ahead. This is where OSINT proves indispensable in detecting fraud patterns early, using public data to flag suspicious behaviors before they become costly breaches.

Uncovering threats early: how OSINT transforms fraud prevention

While OSINT was traditionally seen as a resource for military and government agencies, in recent years its scope has broadened significantly. Today, it is widely used in industries such as financial services and for various applications like cybersecurity and risk management. OSINT’s ability to gather insights from public data makes it an excellent tool for fraud prevention, where identifying digital inconsistencies can expose threats early.

In fraud prevention, OSINT can uncover a wealth of information that might otherwise go unnoticed. For example, simple activities such as checking an email address against known fraud databases or analyzing social media profiles for inconsistencies can reveal critical clues. 

The banking and financial sectors, in particular, are increasingly adopting OSINT practices to screen new customers and prevent fraudulent account openings. Cybersecurity firms, on the other hand, use OSINT to map digital footprints, assess vulnerabilities, and identify potential cyber threats. Whether it's monitoring forums for breached data or cross-referencing public records with suspicious activity, OSINT is transforming the way organizations defend against fraud and cybercrime.

5 types of fraud that can be detected with OSINT

Fraud is becoming more sophisticated, with criminals exploiting digital platforms to conduct various forms of fraud. OSINT can be a critical tool for businesses in identifying and preventing these activities while relying on publicly available data. Below are key types of fraud that OSINT can help counteract.

Synthetic identity fraud

Synthetic identity fraud occurs when criminals create a fictitious identity by combining real and fake information, such as using a valid phone number and email address with a fake name. This type of fraud is particularly difficult to detect because the fake identities often appear legitimate to traditional automated systems. Specifically, using OSINT helps uncover discrepancies between public information and the identity in question. Analyzing online activity—such as social media profiles or public records—can reveal inconsistencies indicating fraudulent behavior.

Identity theft and fake accounts

Criminals often steal personal information from data breaches or phishing attacks to impersonate individuals and create fake accounts. These stolen identities can be used to commit fraud in banking, e-commerce, and other digital platforms. OSINT enables businesses to cross-check the data provided by a user against publicly available information to identify anomalies, such as mismatched addresses or unusual online activity. OSINT can also be used to monitor for leaked information on forums or dark web marketplaces, alerting organizations to the potential misuse of customer data.

Investment scams

Investment scams have been on the rise, with fraudsters using false promises to convince people to invest in fraudulent schemes. According to financial crime statistics, billions are lost annually to these types of scams. In fact, over 50,000 investment scams occurred during Q1 2024, costing consumers in the United States approximately $2.5 billion. OSINT can assist fraud teams investigating these schemes by identifying the individuals involved and revealing patterns of deception through their digital footprints. 

Public sector fraud

Fraud targeting public services, such as welfare benefits, tax refunds, and healthcare, is another area where OSINT can be used effectively. Tracking social media activity and monitoring public databases can reveal inconsistencies that indicate fraudulent claims. For example, OSINT tools can help verify whether a person who is claiming benefits is living at the declared address or whether their public activity matches the information they have provided to authorities. Public sector fraud statistics highlight the growing impact of this type of fraud, and OSINT is becoming a key method for detecting and preventing these crimes. In fact, the European Public Prosecutor's Office (EPPO) recently announced that it has uncovered the largest cross-border VAT fraud scheme ever investigated in the EU, worth an estimated €2.2 billion.

Authorized Push Payment (APP) fraud

APP fraud occurs when fraudsters trick victims into authorizing payments to accounts controlled by the fraudster. This type of fraud is particularly hard to combat because the payment appears legitimate from the victim's side. In the UK, the main contributor to APP fraud in 2023 was purchase scams. The number of these cases increased 34% annually to over 156,000, with marked losses surging 28% to £86M. In this instances, OSINT can help by tracking digital signals on the fraudster behind the receiving account, such as suspicious patterns in social media usage or public records that suggest the account holder is involved in fraud. Learn more about how OSINT tools can assist in preventing scams such as Authorized Push Payment (APP) fraud.

The importance of OSINT in fraud prevention

As digital threats grow more complex, the ability to access and analyze publicly available data becomes crucial in fraud prevention efforts. OSINT plays a vital role in identifying early signs of fraud, enabling companies to stay ahead of criminal activity. Here are several key reasons why OSINT is indispensable in combating fraud:

‍

Data breach monitoring
Data breaches are a significant source of stolen information used in various types of fraud, from identity theft to financial crimes. OSINT can help detect when sensitive customer data has been exposed, whether through compromised databases or leaked on dark web forums. Monitoring public channels for mentions of breached data allows businesses to act quickly, notifying affected customers and tightening security measures. This proactive approach can limit the damage caused by breaches and reduce the likelihood of fraudulent use of stolen information.

Customer Due Diligence (CDD)
In fraud prevention, understanding who your customer truly is can make the difference between accepting a legitimate client and enabling a fraudster. OSINT enhances customer due diligence (CDD) by providing deeper insights into an individual’s or entity’s digital footprint. Businesses can verify the accuracy of information provided during onboarding by comparing public data sources and identifying potential risk indicators. Whether it's identifying inconsistencies in email addresses or validating phone numbers against external records, OSINT helps ensure that only trustworthy clients are onboarded. You can learn more about this process in our article on the role of Identity Intelligence in Simplified Due Diligence (SDD).

‍

Staying updated with threat intelligence
Fraud schemes are continually evolving, and keeping up with the latest trends is critical for preventing attacks. OSINT allows companies to stay informed by tracking emerging threats in real-time. Publicly available information on hacker forums, news outlets, and social media platforms can provide valuable insights into new fraud techniques or vulnerabilities being exploited. By compiling all these sources of information, organizations can adjust their fraud prevention strategies to counter the latest criminal tactics.

‍

If approached manually, all of the above processes are often lengthy and challenging, placing a significant burden on many companies.

Different ways to beat fraud with OSINT

While there are now a variety of OSINT tools on the market that can be used to combat fraud, numerous fraud teams still rely on manual processes and ad hoc queries on search engines to uncover insights into suspicious users or transactions. Below are some of the most effective ways to leverage OSINT in fraud prevention, along with comparisons of manual and automated approaches to achieving this goal.

Data enrichment for fraud prevention

Data enrichment refers to the process of enhancing raw data with additional information from multiple sources. OSINT can enrich a company’s existing datasets by adding context and depth to the information provided by users during sign-up or transactions. For example, a user’s email address or phone number can be cross-referenced with public data to verify its legitimacy.

Many companies and individuals perform OSINT checks manually, often by using search engines like Google with specific negative keywords to uncover additional information about a person or entity. 

In fact, it is not uncommon for antifraud experts to explore various open sources one at the time, including:

• Social network sites (Facebook, X, LinkedIn, Xing, Snapchat, TikTok, etc.)
• Messenger apps (Telegram, WhatsApp, Discord, Skype, etc.)

As well as, advanced data assets like:

• Darknet (TOR pages, ZeroNet pages, IRC records, data leak records, etc.)
• Breaches (emails, names, phones, etc.)

Automated OSINT platforms like Trustfull streamline the data enrichment process by offering faster and more comprehensive results, where all potential matches are aggregated in a secure and centralized environment. This approach reduces the risk of fraud while optimizing available time and resources.

Risk scoring

Risk scoring is a vital aspect of fraud prevention, where businesses gather and process information to quantify the risk associated with a particular user or transaction. OSINT contributes to risk scoring by providing additional insights from a wide range of publicly available sources. By gathering data from social media, email history, phone number lookups, and other digital footprints, OSINT can help build a more accurate profile of a customer’s trustworthiness.

For instance, a phone number that has been flagged on multiple fraud lists or an email address associated with suspicious activity would increase the risk score for that user. This helps businesses prioritize their fraud prevention efforts, focusing more resources on higher-risk individuals.

Trustfull's Identity Intelligence solutions automatically integrate OSINT data into companies' risk scoring process. Teams have the ability to adjust the significance and impact of each data point retrieved from public sources on the overall risk score of each user or transaction.

Account opening protection

Account opening fraud is a major concern for businesses, especially in industries like banking, e-commerce, and digital services. Fraudsters often use stolen or synthetic identities to create fake accounts, which they later exploit for various criminal activities, such as money laundering and financial scams. OSINT can help protect against account opening fraud by verifying the identity of new users through digital footprints.

By analyzing publicly available data tied to a user’s email, phone number, or IP address, OSINT can detect suspicious patterns that may indicate fraudulent activity. This is particularly useful for identifying red flags during the onboarding process, allowing businesses to prevent fraudulent accounts from being created in the first place. For more insights on how to effectively integrate OSINT signals into existing customer onboarding processes, check out our blog post on onboarding orchestration.

OSINT detection methods 

OSINT software can significantly enhance a company’s ability to detect fraud by automating the process of gathering and analyzing digital signals. These tools enable businesses to cross-reference multiple data points, identify inconsistencies, and flag suspicious activity faster than manual checks. Below are some of the key ways automated OSINT checks help counter fraud:

Digital signals and social account checks

As we have seen, OSINT can be leveraged to analyze a wide array of digital signals, including on phone numbers, email addresses, IP addresses, and social media activity. Automated OSINT solutions like Trustfull can detect irregularities that may indicate fraudulent behavior in real time. This is accomplished by detailed analysis of digital signals and social account connections. Discrepancies between the information provided by a user and their public online activity can reveal potential risks, such as synthetic identities or identity theft.

Reverse email lookup

A reverse email lookup allows businesses to search for information associated with an email address across various public sources. Trustfull’s platform automates this process, enabling companies to quickly verify whether an email has been linked to fraudulent activities, data breaches, or suspicious online behavior. Trustfull's reverse email lookup functionality provides valuable insights into a user’s credibility, helping to identify fake or compromised email accounts. Additionally, reverse email lookups can uncover key benefits such as streamlined account verification, spam detection, enriched customer data, and more.

Social media lookup by email

Social media profiles often reveal critical insights into a person’s online presence and activity. With specialized OSINT tools like Trustfull, businesses can conduct social media lookups by email, uncovering additional layers of information to verify a user’s identity in seconds. With the analysis of data from social platforms, businesses can detect inconsistencies or risky behavior patterns that may signal fraud. Social media lookups by email are typically used for spotting synthetic identities, pre-screening users for KYC, screening job applicants, additional security checks, and so forth. For a deeper dive into this technique, you can read our article on social media lookup by email.

Cross-referencing email and phone data in fraud detection

Cross-referencing email and phone data remains an integral component in anti-fraud measures. Validating both email and phone data together is one of the most effective ways to detect fraudulent activity. However performing this process manually is extremely hard. Trustfull’s platform enables businesses to cross-reference contact details automatically, checking for inconsistencies and verifying whether the provided information matches public records. For instance, utilizing phone-to-name, email-to-name, and similar matching methods, adds another layer of verification, helping businesses avoid onboarding fraudsters or processing fraudulent transactions.

Phone number analysis and reverse phone lookup

Financial organizations need reverse phone lookups to improve their processes in several areas, including fraud prevention, regulatory compliance, pre-KYC, and so on. Trustfull's phone number intelligence solution makes it easy to assess the risk of any phone number globally, processing information such as its porting history, associated online accounts, mobile network operator (MNO) and more. Additionally, the system can detect inconsistencies in usage patterns or ownership, helping to prevent fraud at the account opening stage or during ongoing transactions. 

Fighting fraud with OSINT

OSINT has become a key tool in the fight against fraud. From countering synthetic identity fraud to uncovering investment scams and APP fraud, experts are increasingly relying on OSINT to uncover suspicious activity in real-time. For organizations looking to enhance their fraud prevention strategies, integrating OSINT into their risk assessment and monitoring processes is essential. Trustfull’s OSINT-powered identity intelligence solutions empower businesses to effectively detect and mitigate fraud through digital signals and public data analysis.

To discover how OSINT can strengthen your fraud prevention, request a demo with a member of our team. 

Questions and Answers

How does OSINT help in fraud prevention?
OSINT helps prevent fraud by collecting and analyzing publicly available data, such as email addresses, phone numbers, and social media activity, to detect inconsistencies and suspicious patterns. OSINT tools can identify potential fraud risks early by providing insights from digital footprints and public records. This approach enables businesses to proactively flag high-risk individuals or transactions before fraud occurs.

What types of fraud can OSINT software detect?
OSINT software is effective in detecting various types of fraud, including synthetic identity fraud, identity theft, and financial crime. By analyzing publicly accessible information, OSINT ID checks can uncover fake identities, identify fraudulent accounts, and reveal connections between suspicious entities. It’s particularly useful in industries like banking, online lending, and financial services.

Why is data enrichment important in OSINT ID checks?
Data enrichment in OSINT ID checks adds layers of context to basic information, making it easier to verify the legitimacy of users. OSINT tools enhance identity verification processes by validating phone numbers, email addresses, and other personal details against public data sources. This method helps businesses reduce fraud risk and ensure only trustworthy customers are onboarded.