Q&A: AI, identity verification, and financial security

There has been a growing role of artificial intelligence in identity verification, fraud prevention and digital trust. Experian’s 2026 Identity & Fraud Report finds that while consumers increasingly use AI for activities such as shopping and online research, they remain cautious about relying on it for important financial or travel-related decisions.

The discussion highlights the “AI trust gap”, rising concerns about AI-enabled fraud and the increasing use of AI by businesses to combat scams. Looking ahead, agentic AI could automate purchasing and banking activities, but its success will depend on strong identity verification, transparency and security.

To discover more, Digital Journal spoke with Kathleen Peters, Chief Innovation Officer, Fraud and Identity at Experian North America.

Digital Journal: Experian just released its annual identity and fraud report. What are the top findings?

Kathleen Peters: Our 2026 Identity & Fraud Report points to a growing AI trust gap. While consumers are embracing AI, especially for shopping, online research and recommendations, they’re far less comfortable relying on it for higher-stakes decisions like travel bookings or financial services decisions. In short, even though AI adoption is accelerating, trust hasn’t kept pace.

The report also shows that fraud remains a major concern. Nearly one in five consumers experienced financial losses from online fraud last year, and more than half worry about AI-powered scams. Businesses are leaning into AI as part of the solution with 80% using it to strengthen fraud prevention efforts. It’s a reminder that AI is changing both sides of the fraud equation, creating new risks while also helping organizations better protect consumers.

DJ: How do you see agentic AI changing the way people shop, bank, and interact with businesses over the next few years?

Peters: Agentic AI could fundamentally change how people shop, bank, and interact with businesses by helping them make decisions and complete transactions on their behalf. I think this holiday shopping season could be especially telling. As more shoppers experiment with AI-powered tools to find products and make purchase decisions, we’ll get a better sense of how comfortable people are letting AI take a more active role in the buying journey.

The opportunity is enormous but unlocking it will require a strong foundation of identity, security, and transparency. The organizations that can build that trust will be best positioned to deliver the next generation of AI-powered experiences.

Unlike traditional chatbots that answer questions, agentic banking assistants could manage end-to-end processes. For instance, an AI agent might gather documentation, verify identity, assess eligibility and progress a mortgage application while keeping the customer informed throughout the process.

DJ: Trust has become a recurring theme in discussions about AI and fraud. Why do you believe trust is becoming such a critical competitive advantage for organizations?

Peters: Trust is the foundation of every digital interaction. As consumers increasingly use AI to engage with businesses online, they want confidence that their identities are protected and their information is secure. In fact, 71% of people say it’s important for businesses to accurately recognize them online while 84% say they’re willing to complete additional security steps when needed to prevent fraud.

For businesses, that creates both a challenge and an opportunity. Organizations that can accurately recognize legitimate customers, prevent fraud and reduce unnecessary friction will be better positioned to build loyalty and strengthen customer relationships.

DJ: Businesses are increasingly using AI to fight fraud while fraudsters are using the same technology to launch attacks. How can organizations stay ahead?

Peters: Fraud is evolving faster than ever, and AI is accelerating both the scale and sophistication of attacks. To stay ahead, organizations need a stronger identity foundation and more predictive signals that can help distinguish legitimate customers from bad actors in real time.

That’s one reason Experian recently acquired AtData, adding powerful email intelligence and real-time identity signals to help businesses better identify legitimate consumers and detect potential fraud earlier in the customer journey. The organizations that succeed will be the ones that can connect identity, fraud detection, and AI-driven decisioning to stop fraud before it happens.

DJ:  What will successful organizations do differently to build trust, prevent fraud, and create secure digital experiences in an AI-driven economy?

Peters: The most successful organizations won’t think about trust, fraud, and customer experience as separate challenges. They’ll treat them as part of the same strategy. As AI becomes more embedded in everyday interactions, consumers will increasingly gravitate toward brands they trust to keep their information safe while delivering seamless, personalized experiences.

The leaders will be the companies that focus on creating transparent, trustworthy digital ecosystems where people understand how AI is being used, how decisions are made, and how their identities and data are protected. As AI agents begin acting on behalf of consumers, businesses will also need new ways to verify that those agents are authorized to act and can be trusted. In an AI-driven economy, trust won’t just be a security requirement. It will be a competitive advantage that drives customer loyalty and long-term growth.