Almost 9 in 10 Australians concerned about identity theft online as AI-driven fraud continues to grow
- More than half (56%) of Australians have said they have been a victim of online fraud, highlighting the widespread impact across consumers.
- AI driven fraud such as deepfakes named one of the highly concerning types of fraud by Australians.
- Only 19% of Australians feel comfortable with facial recognition as a security method.
Sydney, Australia, April 2026, New research revealed today has found that 90% of Australians are worried about identity theft online, with more than half (56%) stating they have been a victim of fraud via online services. The findings from global data and technology company, Experian, highlight growing consumer concern around online fraud and digital security in an increasingly AI-driven environment.
The report, Fraud in the Age of AI: Identity, Risk and Consumer Behaviour, highlights how Australian millennials report the highest incidence of online fraud, with 64% saying they have been a victim, followed by Gen Z (57%), Gen X (44%) and then Boomers (42%). The most common forms of fraud reported by Australians were credit card fraud (42%) purchase scams (40%) and social media account hacks (39%).
Financial services and banking (70%) were the sectors where fraud was reported at the highest rate, followed by e-commerce (58%) and government services (44%). Telecommunications (48%), retail (43%), utilities (35%) and healthcare (28%) also show significant exposure, highlighting how fraud risks are extending across sectors.
When asked on what form of online fraud worries them the most, Australians said, identity theft, such as stolen personal details, fake purchase scams, credit card fraud, account takeover and AI driven fraud such as deepfakes.
Richard Atkinson, Head of Fraud and Identity at Experian A/NZ, said, “Fraud and identity theft are becoming a mainstream concern for Australians as digital services play a larger role in everyday financial and consumer activity. At the same time, advances in technology are changing how fraud is carried out, enabling more convincing impersonation, making attacks easier to scale, and for organisations, harder to detect.”
To help keep pace with instances of AI generated fraud, businesses are embedding AI into their fraud detection systems. This is a strategy Australians are generally supportive of, with the research revealing 53% of consumers feel comfortable with AI for behavioural analysis to detect fraud.
However, comfort levels drop significantly when AI is used for more intrusive methods, such as facial recognition or AI agents making decisions autonomously. Only 19% of consumers are very comfortable with facial recognition, and only 9% feel comfortable with AI agents making decisions like authorising payments or applying for services on their behalf.
“As technology becomes more embedded in transactions, it is getting increasingly difficult for companies to differentiate between legitimate activity and fraud, making it critical to strengthen detection capabilities. However, businesses still need to maintain simple, transparent customer experiences whilst comfort levels toward certain technologies remain cautious,” said Atkinson.
The full report, Fraud in the Age of AI: Identity, Risk and Consumer Behaviour can be found here: https://www.experian.com.au/content/dam/noindex/apac/australia/report/Fraud-in-the-age-of-AI.pdf
About Experian
Experian is a global data and technology company, powering opportunities for people and businesses around the world. We help to redefine lending practices, uncover and prevent fraud, simplify healthcare, deliver digital marketing solutions, and gain deeper insights into the automotive market, all using our unique combination of data, analytics and software. We also assist millions of people to realise their financial goals and help them to save time and money.
We operate across a range of markets, from financial services to healthcare, automotive, agrifinance, insurance, and many more industry segments.
We invest in talented people and new advanced technologies to unlock the power of data and to innovate. A FTSE 100 Index company listed on the London Stock Exchange (EXPN), we have a team of 25,200 people across 33 countries. Our corporate headquarters are in Dublin, Ireland. Learn more at experianplc.com.
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