Credential fraud consists of an employment candidate falsifying information on the employment application, usually in the form of misrepresented employment history and academics-related credentials. This type of fraud has witnessed the creation of many external agencies which act as third-party investigators and are generally hired as a proactive risk management investment. There is also ample research evidence pointing toward an increased awareness of credential fraud in modern business organizations, promoting human resource officials to promote extensive training to interviewing managers in recognizing potential discrepancies within employment applications. With background checking being established by many organizations in an attempt to combat this fraudulent activity, it is somewhat unexpected that credential fraud continues to rise statistically.This project identifies the potential detriment which is caused by credential fraud, both to the business which experiences increases in similar fraud and to the employee or potential job candidate who knowingly falsifies their credentials. Further, an interview was conducted with the Regional HR Manager at The Home Depot, a major home improvement center with facilities in North America and abroad, to highlight the issues faced by today’s human resources departments.Credential fraud is not only a modern problem plaguing businesses, instances of misrepresentation have been experienced since at least the 1970s. Research indicates that fraudulent employment activities involved degree forgery and the use of diploma mills on black markets. These mills offered the creation of official-looking degrees from major universities across the nation, costing, at the time, around $1500.