Application Fraud Is Surging—Here’s How Attesto Is Protecting Companies and Candidates
The digital transformation of hiring—accelerated by remote work and AI —has unlocked incredible speed and reach in recruiting. But it has also opened the floodgates for a growing and deeply concerning issue: application fraud.
As more companies shift to virtual hiring processes, bad actors are exploiting the system at unprecedented levels. According to a recent prediction by Gartner, up to 25% of job applications could be fake by 2028. Some companies are already reporting that over 70% of applications for remote tech roles are fraudulent or irrelevant, as highlighted in a recent article from Fast Company. That’s a business risk.
Recent investigations have revealed that state-sponsored fraudsters, including operatives from North Korea, have successfully infiltrated tech companies in the US and Canada by falsifying identities and work histories. It’s a sobering reminder of how high the stakes have become.
Why Application Fraud Matters
While most fraudsters are eventually caught, it's often too late—after they’ve taken up valuable interview time or, worse, already been hired. Sorting through fake or misleading applications has become a major burden for HR teams, particularly for remote roles that attract global applicants. The cost of a single bad hire—especially one made under false pretenses—can far outweigh the investment in early screening.
The core challenge lies in two competing priorities:
Maintaining a seamless, low-friction application experience for candidates.
Implementing robust defenses against increasingly sophisticated fraud tactics.
Drawing from lessons in fintech, where fraud detection systems have been seamlessly embedded into the customer journey, businesses in all industries now need automated, intelligent, and frictionless fraud detection capabilities within their hiring processes.
The 3 Faces of Application Fraud
Application fraud today spans a variety of tactics, most of which fall into one of these three categories:
In these cases, a person (or a group or agency) applies under a completely fake or stolen identity—often using polished resumes and fabricated LinkedIn profiles. The motive may be to secure a job on behalf of someone else (frequently overseas) or to stack multiple remote roles under different aliases for financial gain.
Some applicants use their true identity but submit completely fictitious resumes. A recent graduate, for example, may apply to a mid-level role by fabricating past experience and using AI or third-party help to get through interviews. These candidates often present well on paper and may even ace virtual interviews with external assistance.
This more subtle type of fraud involves genuine candidates inflating their qualifications—optimizing resumés with AI tools to bypass screening filters or using AI-generated answers during live interviews. While not always malicious, this tactic creates significant risk when businesses make hiring decisions based on misrepresented capabilities.
Attesto’s Mission: Fraud Detection Without Friction
At Attesto, we believe trust is foundational to great hiring—and that both candidates and companies deserve protection from fraud. Our AI-powered hiring agents are built to detect fraud at the top of the funnel, without adding unnecessary steps or barriers for genuine applicants.
Our approach is modeled after how a top recruiter would assess authenticity: cross-referencing information, noticing subtle red flags, and asking the right questions. But instead of being limited by human bandwidth, Attesto’s intelligent agents scale these capabilities across thousands of applications automatically.
Here’s how the Attesto Fraud Detection Agent is combating today’s fraud challenges:
1.
Cross-Validation of Public Profiles
Attesto’s AI agents analyze candidates’ LinkedIn profiles and other publicly available data to detect inconsistencies and signs of identity fraud. For example, if a resume mentions a senior role at a major company but the LinkedIn profile doesn’t match—or seems suspiciously sparse—the system flags it. Discrepancies, duplicate profiles, or unusual career patterns are examined in context.
2.
Experience-Based Screening, Not Keyword Matching
Instead of blindly scoring resumes based on keywords, Attesto evaluates whether a candidate’s listed experiences genuinely align with the role’s requirements. It mimics the judgment of an experienced recruiter—asking: “Does this background make sense for this position?” This reduces the risk of candidates advancing based purely on inflated or AI-optimized resumes.
3.
Interview Interaction Monitoring
Attesto’s candidate interaction agents are trained to detect when responses may be AI-generated or externally assisted. Subtle markers—like response timing, coherence across multiple answers, or deviations from earlier statements—can signal dishonest behavior. This helps recruiters prioritize authentic applicants and intervene early when red flags appear.
4.
Adaptive Verification for Suspicious Cases
When candidates are flagged as potentially fraudulent, Attesto offers a lightweight andadaptive verification step, which includes an ask for additional context or identity confirmation. This adaptive verification ensures that candidates with genuine but unusual backgrounds are given a fair shot, while also minimizing the risk of fraud slipping through. It’s a delicate balance between protection and opportunity, and one we take seriously.
Building Trust Into Every Step of Hiring
The solution to application fraud isn’t adding more forms or requiring video IDs from every applicant. It's smart, silent screening that enhances recruiter intelligence without burdening candidates. That’s the heart of what we do at Attesto.
Fraudsters will continue to evolve their tactics. But so will we.
In this era of remote-first work and AI-enhanced hiring, companies need tools that are as sophisticated and agile as the threats they face. Attesto’s fraud detection and screening agents work together to protect your hiring funnel—ensuring your team invests its time and trust in the right candidates.
At the end of the day, great hiring isn’t just about finding talent. It’s about establishing trust.
Is your company navigating high volumes of applicants—or facing increasing concerns about fraud in your hiring funnel? Let’s talk. Attesto can help you build hiring processes that are secure, scalable, and candidate-friendly.
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