London Daily

Focus on the big picture.
Sunday, Jun 04, 2023

What is identity theft and what does it mean?

What is identity theft and what does it mean?

Discover what identity theft is and how it is defined. Here's how to protect yourself when your personal information is used for financial gain or to assume your identity.

Identity theft sounds like a crime that happens to someone else. Yet, it's ubiquitous, with the Federal Trade Commission recording 1.1 million reports of identity theft in 2022. The true number is likely higher as these are just the reported instances.

As more personal information ends up online, our identities are at greater risk of being stolen. You can take measures to reduce the risk of identity theft, such as enrolling in an identity theft protection service. You can find our guide to the best identity theft protection services here.

However, you don't necessarily need to immediately reach for the heaviest identity security you can find. Identity theft is often a crime of opportunity. Even just learning about vulnerabilities will go a long way toward protecting yourself. Here's everything you need to know about identity theft and how to report identity theft if you think you're a victim.


What is identity theft?


Identity theft occurs when someone steals another person's information for financial gain or to assume that person's identity. The Identity Theft and Assumption Deterrence Act of 1988 made identity theft a federal crime, though most cases are handled on the state level. Federal courts only get involved if a massive amount of money was stolen or if a fraudster was stealing multiple identities.

Because perpetrators of identity theft act under the victim's identity, the victim can be held responsible for anything the perpetrator does. Paige Hanson, cyber safety consultant and former chief of cyber safety education at NortonLifeLock, says that because all of the fraudster's activities were done under someone else's identity, "we think of identity theft victims as guilty, and they have to prove themselves innocent."


Types of identity theft


Identity theft can be done with several pieces of information to a number of ends.

Financial identity theft: The most common type of identity theft is when a fraudster uses your information for financial gain. This can be as simple as using your credit card information to make purchases online or in person, but it can go as far as using your social security number to open a new line of credit in your name. Not only does this hurt your finances, but this can also hurt your credit score.

Hanson recommends using a credit card to make purchases instead of a debit card because credit cards have more protections in place. "If a fraudster went on a spending spree out of your debit card account and spent whatever the balance was, you're left without any money until the bank reimburses you, which can be up to, you know, five to 10 business days," she says.

Note: Some debit card providers give you as few as two days to report a missing debit card.

Medical identity theft: In this type of debt, a fraudster uses your medical insurance information to get reimbursed for their medical expenses. Alternatively, an insurance holder can commit fraud by giving their insurance information to someone so that person doesn't have to pay for their medical expenses. Medical providers may also commit fraud by claiming they performed medical procedures that never happened to get reimbursed.

Medical identity theft can hurt your credit but can have more severe consequences if the fraudster's actions create medical records under your name. This can lead to false medical information, leading to complications during medical procedures.

Criminal identity theft: In these instances, the perpetrator committed a crime, something that can be as innocuous as a speeding ticket, and gives someone else's information instead of their own, such as a driver's license. So that person is held legally responsible for the perpetrator's actions.

Child identity theft: Children are appealing targets for fraudsters because their credit history is blank. If a person has a credit history associated with certain geographical areas, a fraudster attempting to open a new line of credit in that person's name in a completely different area will set off red flags. Yet if someone doesn't have a credit history, like a child, there's no prior activity pattern that will trigger those red flags, so the fraud goes unnoticed.

These cases are usually instances of familiar fraud, where the victim knows the fraudster personally, usually a friend or family member. "In those cases, the young adult doesn't necessarily want to press charges against their parents or aunts or uncles, somebody within their familiar circle. And so they're left with poor credit," Hanson says.

Synthetic identity fraud: Synthetic identity theft is a relatively new way to create a false identity by creating a profile using bits and pieces of other people's information, making it hard to detect since this person doesn't exist. A fraudster will start by stealing a social security number, then add false information around it, such as a fake name and address, until a whole fraudulent profile is created. Fraudsters can use this identity to build credit, take out a loan, and disappear.

Though the identity is a mix of information from different people, Hanson says that the owner of the social security number is usually held accountable. "But it's not necessarily on [their] credit report because all of the other information wasn't matching," she says.

Note: Fraudsters can steal a deceased person's identity and use it to commit fraud, also called "ghosting."


How to prevent identity theft


Hanson says that being aware that your identity can be stolen is a good starting point toward reducing identity theft risk. However, personal information leaks are often out of our control. Fraudsters can access your information through a data breach from an online retailer or insurance company that leaks their clients' personal information. Even Equifax, one of the three major credit reporting agencies, was the target of a data breach in 2017.

Yet there are ways to prevent any significant damage to you.

Keep your personal information secure: It's crucial to closely guard your personal information and accounts online and on paper. This means practicing good security habits, such as having a variety of passwords, which can prevent credential stuffing. You should also be properly disposing of documents containing sensitive or personal information by shredding them or crossing out personal details.

Sign up for ID theft protection or credit monitoring: Unfortunately, personal information leaks are often out of our control. Fraudsters can access your information through a data breach from an online retailer or insurance company that leaks their clients' personal information. Though we can maintain some security practices, the best thing to do is keep a watchful eye. An easy way to do this is by signing up for an identity theft protection service that will monitor your information to see if anyone is using it and alert you if they detect potential fraud.

Regularly check your credit report: If you don't enroll for ID theft protection, you can periodically check your credit report to see if there are any unauthorized lines of credit. You are entitled to a free credit report from each of the three credit bureaus every 12 months from AnnualCreditReport.com. You can also sign up for a credit monitoring service, which alerts you to changes on your credit report. The best credit monitoring services also have some identity theft protection features.

Note: Until the end of 2023, you can access weekly credit reports.

Preventing child identity theft: To prevent your child's identity from being stolen, you can open a line of credit in your child's name then freeze their credit as long as they're under the age of 16. Known as a security freeze, this restricts access to your child's credit history. You will have to verify both your child's identity, your identity, and that you are a parent or legal guardian to the child. You will also have to do this with all three credit bureaus.


What to do if you're the victim of identity theft


If you find that your credit score is fluctuating because of lines of credit that you didn't open or you're receiving collection notices on debt that you didn't rack up, there's a good chance that your identity has been stolen. Though it can be a harrowing experience, you have certain rights as a victim of identity theft. You need to take several steps once you realize your identity has been stolen.

Report the fraud to relevant companies: First, you should notify the companies involved in the identity theft. For most cases, such as credit card fraud, you can report the fraud, dispute the charge, and get a new credit card. You're not held responsible as long as you do that within the allotted time since the fraud occurred — usually between 60-90 days.

In most states, you are not liable for new lines of credit opened due to fraudulent activity. You also have the right to challenge debt collectors if they contact you to repay any debt you're not responsible for.

Report fraud to the FTC: After reporting to relevant companies, you'll want to file a report with the FTC. You can report identity theft over the phone at 877-438-4338, but you will only receive an identity theft report if you make a report online. An identity theft report can be useful documentation when reclaiming your identity.

Report fraud to credit bureaus: You need to call one of the three credit bureaus — Experian, Equifax, or TransUnion — that your identity has been stolen. The credit bureau you report it to is required by law to notify the other two bureaus. While contacting your credit bureaus, you're entitled to a 90-day initial fraud alert, which requires creditors to take reasonable steps to confirm the identity of the person applying for credit under your name. They must also provide you with a free credit report, a summary of your rights, and the fraud alert.

Here's how to contact the credit bureaus:

*  Equifax — Call 800-525-6285 or add a fraud alert through your online Equifax account

*  Experian — Call 888-397-3742 or add a fraud alert through Experian's Fraud Alert Hub

*  TransUnion — Add a fraud alert by calling 800-680-7289 or through TransUnion's online account

Note: If you have an identity theft report, you can extend the fraud alert to seven years. You'll need your identity theft report from the FTC to make this extension.

Even if someone has your social security number, it is difficult for them to use it. "Usually what we find is that [fraudsters] just move on to the next security number because you've made it harder for them to just easily more freely use," Hanson says.

Go to local law enforcement: There are certain instances in which you should go to your local law enforcement agent, such as if you know the person who stole your identity. You should also report the incident to law enforcement if the fraudster passed your information off as theirs to the police. Lastly, certain companies may require a police report when you're reporting fraud.

Strengthen your digital security: If you weren't signed up for identity theft protection before an incident of theft, you should sign up for one afterward, as victims are often targeted more often after the first incident.

In extenuating circumstances, such as if your life is being threatened or your social security number is constantly being used to steal your identity, you may be eligible for a new one. You can apply for a new one online through the Social Security Administration.

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

London Daily
Close
0:00
0:00
The driver has been described by authorities as a 21-year-old woman from Tallahassee
You Are So Beautiful
Joe Biden falls at the Air Force Graduation
Postmodern Jukebox European Tour Version
America's Got Talent…
An old French tune (by Georges Brassens) Pomplamoose ft. John Schroeder
Nvidia Joins Tech Giants as First Chipmaker to Reach $1 Trillion Valuation
Sattahip Motor Show 20
Drone Attack on Moscow's Wealthiest Neighborhoods Suspected to be Launched by Ukraine
SONATE AU CLAIR DE LUNE - Moonlight sonata
Elon Musk Meets Chinese Finance Minister in Beijing
A kiss to build a dream on
UK Prime Minister Rishi Sunak to Hold Power Talks with President Biden in Washington
Wonderful Tonight - Eric Clapton (Boyce Avenue acoustic cover)
AI ‘extinction’ should be same priority as nuclear war – experts
Mean Blues
Prominent Hacker Forum RaidForums Suffers Substantial Data Breach
La Chansonnette
Climate cultists thought they had sabotaged another beautiful event — then the cameraman had his revenge.
Pattaya Addicts
Nvidia CEO Huang says firms, individuals without AI expertise will be left behind
Franz Liszt - Liebestraum - Love Dream
WPP Revolutionizes Advertising with NVIDIA's AI Powerhouse
Dream a little dream of me
Two US Employees Fired For Chasing Robbers Out Of Store As They Broke ''Company Policy''
Unchained Melody sung like you've NEVER heard!
Pfizer, the EU, and disappearing ink - Smoke, Mirrors, and the Billion-Dose Pfizer Vaccine Deal: EU's 'Open Secret
Dave Brubeck - Take Five
Actor Tom Hanks told Harvard University graduates to be superheroes in their defense of truth and American ideals, and to resist those who twist the truth for their own gain
Édith Piaf - Non, Je Ne Regrette Rien (Sofie)
The Sussexes' Royal Rebound: Could Harry and Meghan Markle Return to the UK?
Rondo Alla Turca
A provocative study suggests: Left-Wing Extremism and its Unsettling Connection to Psychopathy and Narcissism
Kiss of fire
France Arrests 10 on Suspicion of Failing to Respond in Time to Migrant Drowning
Tom Jones - I´ll Never Fall In Love Again 1967, 1989, 2001
Neuralink Receives FDA Approval for First-in-Human Clinical Study
Israel Cachao López - Guajira Clásica
Ukrainian Intelligence Official Admits to Assassination Attempts on Putin
Edward Maya - Stereo Love (feat. Vika Jigulina) (Extended Mix)
WATCH THIS: democracy in Russia is so bad!
Strauss - Radetzky March - Karajan
Ed Davey: It is possible for a woman to have a penis
La vie en rose
Bernard Arnault Loses $11.2 Billion in One Day as Investors Fear Slowdown in US Growth Will Reduce Demand for Luxury Products
The Temptations - My Girl (Smokey Robinson Tribute) 2006 Kennedy Cent
Russian’s Wagner Group leader: “I am not a chef, I am a butcher. Russia is in danger of a revolution like in 1917.”
Orlando Cachaito Lopez Redencion
TikTok Sues Montana Over Law Banning the App
Edith Piaf - NON, JE NE REGRETTE RIEN
Ron DeSantis Jumps Into 2024 Presidential Race, Setting Up Showdown With Trump
RADETZKY MARCH-2008-Wien, New Year Concert
Steve Jobs introducing Apple's iPhone, exactly 16 years ago.
Only you (And you alone)
Banking Behemoth vs Ex-Boss: The PMorgan-Epstein Entanglement
Strangers In The Night
China overtakes Japan as world's top car exporter
Charles Aznavour - La Boheme
Banking Behemoth vs Ex-Boss: The PMorgan-Epstein Entanglement
Summer time
Elon Musk's SpaceX and Italy's Unipol join forces to help Italians hit by flooding
Sting and Stevie Wonder - Fragile (from Sting's 60th birthday concert)
Talks between US House Republicans and President Biden's Democratic administration on raising the federal government's $31.4tn debt ceiling have paused
Aux Champs Elysees
Biden Administration Eyeing High-Profile Visits to China: The Biden Administration is heating things up by looking into setting up a series of top-level visits to Beijing by top officials in the coming months
Stand By Me - Ben E. King (Boyce Avenue acoustic cover)
New evidence in special counsel probe may undercut Trump’s claim documents he took were automatically declassified
La Mer (Beyond the Sea) – Avalon Jazz Band
A French court of appeals confirmed former President Nicolas Sarkozy's three-year jail term for corruption and influence peddling
She
Debt Ceiling Crises Have Unleashed Political Chaos
Nathalie Song by Enzo Petrachi Stjepan Hauser Cello
Weibao Wang, a former software engineer at Apple, was charged with stealing trade secrets related to autonomous systems, including self-driving cars
Shape of My Heart - Sting (Boyce Avenue acoustic cover)
Mobile phone giant Vodafone to cut 11,000 jobs globally over three years as new boss says its performance not good enough
Radiohead - Creep
Elon Musk compares George Soros to Magneto, the supervillain from the Marvel Comics series.
Quizás,Quizás,Quizás - Andrea Bocelli - Jennifer Lopez
Warren Buffett Sells TSMC Shares Over Concerns About Taiwan's Stability
Perhaps, Perhaps, Perhaps - Multi-Couples
New Study Finds That Secondary Bacterial Pneumonia Is a Major Cause of Death in COVID-19 Patients Who Require Ventilator Assistance
Pentatonix Havana
Vienna: Passenger Plays Hitler Speeches on Train, Causes Panic
Paula Cole - Autumn Leaves
Remarkable video from our Fox drone team
Oscar Benton Bensonhurst Blues
The official tapes of Trump's deposition in the E. Jean Carroll battery (rape) and defamation case have been released.
OH NANANA vs ABUSADAMENTE
Here is the full video that the media are purposely not sharing
Nina Simone - ”I Put A Spell On You”. Vezi aici cum cântă Jeremy Ragsd
King Charles III being crowned.
NIGHTWISH - The Phantom Of The Opera
Newly released video of Donald Trump’s rape trial deposition:
Motorshow 2016 Tanjay Negros Oriental
Video: Ukraine MP Punches Russian Representative At Global Meet
Monica Bellucci - Ti Amo
Russia accused Ukraine of attacking the Kremlin with drones in an attempt to kill Putin
Michael Jackson - Billie Jean Milena The Voice France 2018
Ahead of King Charles’ coronation, British guards rehearse in the middle of the night in London
Michael Buble (Help Me Make It Through The Night) feat Loren Allred
Memories Canon In D - Maroon 5 (Boyce Avenue piano acoustic cover)
Matteo Simoni - Marina
Maroon 5 - One More Night
Maroon 5 - Memories
Mark Knopfler - Brothers In Arms (Berlin 2007 Live)
Mark Knopfler & Emmylou Harris - Romeo And Juliet (Real Live Roadrunni
Marina, Marina - The LUCKY DUCKIES intimist live concert at Guimarães
Major Lazer & DJ Snake – Lean On Mauranne The Voice France 2016
Love Theme from Romeo and Juliet - Joslin - Henri Mancini, Nino Rota
LoLa & Hauser - Love Story
Linkin Park Jay-Z - Numb Encore (Live 8 2005)
Hallelujah Mennel Ibtissem, The Voice France Leonard Cohen
Leonard Cohen - Dance Me to the End of Love
Leonard Cohen & Natasha Rostova - Dance me to the end of love
La casa de papel - Bella Ciao
La Camisa Negra
L'italiano (Toto Cutugno) - The Gypsy Queens
Juanes - La Camisa Negra
Jonathan and Charlotte - Britain's Got Talent 2012 Live Semi Final - U
John Powell - Assassin's Tango
Joe Cocker - You Can Leave Your Hat On (LIVE in Dortmund)
Joe Cocker - Unchain My Heart 2002 Live
Joe Cocker - A Whiter Shade Of Pale
Jay Z & Alicia Keys - Empire State of Mind LIVE
Jason Mraz - Im Yours (live)
Jarrod Radnich - Bohemian Rhapsody - Virtuosic Piano Solo
James Blunt - You're Beautiful
James Blunt - You're Beautiful & Bonfire Heart (Live at The Nobel Peac)
If You Go Away - Helen Merrill & Stan Getz (Tribute to Virna Lisi)
I'LL BE MISSING YOU
I Say a Little Prayer
Hotel California ( Eagles ) 1994 Live
Historia de un amor - Luz Casal. Vezi interpretarea Biancăi Sumanariu
Here Comes The Sun - The Beatles (Boyce Avenue acoustic cover) on Spot
Heart - Stairway to Heaven Led Zeppelin - Kennedy Center Honors
HAVANA by Camila Cabello Zumba Pre Cooldown TML Crew Kramer Pastra
HAUSER and Señorita - I Will Always Love You
HAUSER - Waka Waka
HAUSER - Sway
HAUSER - Lambada
HAUSER - Historia de un Amor
HAUSER - Despacito
Great Pretender
Georgia May Foote & Giovanni Pernice Samba to 'Volare' - Strictly Come
Gary Moore - Still Got The Blues
GIPSY KINGS VOLARE Penelope Cruz
Fugees - Killing Me Softly With His Song
French Latino - Historia de un Amor
For A Few Dollars More The Danish National Symphony Orchestra (Live)
Flashdance • What a Feeling • Irene Cara
Filip Rudan - “Someone You Loved” Audicija 4 The Voice Hrvatska Sez
Eric Clapton - Wonderful Tonight
Enya - Only Time
Enrique Iglesias - Bailando (English Version) ft. Sean Paul
Enrique Iglesias - Bailamos
Elena Yerevan Historia de un amor
Ed Sheeran - Shape of You (Official Music Video)
Ed Sheeran - Perfect Symphony [with Andrea Bocelli]
Ed Sheeran - Perfect (Official Music Video)
Easy On Me - Adele (Boyce Avenue 90’s style piano acoustic cover) on S
ERA - Ameno
ELENA YEREVAN- Cancion Del Mariachi-IN STUDIO-2017 DPR
Dust In The Wind - Kansas (Boyce Avenue acoustic cover)
Don't Let Me Be Misunderstood
Despacito x Shape Of You - Pentatonix
Deep Purple - Child In Time - Live (1970)
David Foster When A Man Loves A WomanIt's A Mans World (SealMichael Bo
Dance me to the end of Love ( Pi-Air Design )
Coolio - Gangsta's Paradise (feat. L.V.) [Official Music Video]
Conquest Of Paradise (Vangelis), played on Böhm Emporio organ
Cielito Lindo
Chico & The Gypsies - Bamboleo
Canción Del Mariachi - Antonio Banderas, Los Lobos • Desperado
Camila Cabello - Havana (Audio) ft. Young Thug
Camila Cabello - Havana ( cover by J.Fla )
California Dreamin' - The Mamas & The Papas José Feliciano (Boyce Ave
Buster Benton - Money Is The Name of The Game
Hallelujah Pentatonix
Bobby McFerrin - Don't Worry Be Happy (Official Music Video)
Bob Dylan - Knockin' On Heaven's Door Emilia The Voice Kids France
Besame Mucho - Cesaria Evora
Ben E. King - Stand by Me Sax Cover Alexandra Ilieva Thomann
Bella Ciao
Bella Ciao - INSTRUMENTAL
Beautiful in White x Canon in D (Piano Cover by Riyandi Kusuma)
Bad Romance - Vintage 1920's Gatsby Style Lady Gaga Cover ft. Ariana Savalas & Sarah Reich(1)
BELLA CIAO 2020 - KARAOKE ITALIANO
BAMBOLEO - Gipsy Kings • Antonio Banderas, Katya Virshilas
BAILANDO (original)
Awesome Ukrainian yodeler - SOFIA SHKIDCHENKO (with English subtitles)
Avicii - The Nights
Atom - The Great Gig in the Sky
Aretha Franklin - (You Make Me Feel Like) A Natural Woman (Official Ly
Antonio Banderas - Cancion del Mariachi (Desperado)
André Rieu - Zorba's Dance (Sirtaki)
André Rieu - Can't Help Falling In Love
André Rieu & Mirusia - Ave Maria
Andrew Reyes Elton John - Don't Let The Sun Go Down The Voice 2020 (
Andreas Kümmert Whiter Shade Of Pale The Voice of Germany 2013 Showd
And I Love You So
All About That Bass - Postmodern Jukebox European Tour Version
Alan Walker - Faded (Piano Cover)
Ain't No Sunshine -- Bill Withers (cover by Canen 12 y.o.)
African music
Adriana Vidović - “Creep” Audicija 4 The Voice Hrvatska Sezona 3
Adriana Vidović - “Believer” Nokaut 3 The Voice Hrvatska Sezona 3
A Fistful of Dollars - The Danish National Symphony Orchestra and Tuva
4 Beautiful Soundtracks Relaxing Piano [10min]
2CELLOS - Whole Lotta Love vs. Beethoven 5th Symphony [OFFICIAL VIDEO]
2CELLOS - Smooth Criminal (Live at Suntory Hall, Tokyo)
2CELLOS - Smells Like Teen Spirit [Live at Sydney Opera House]
2CELLOS - Despacito [OFFICIAL VIDEO]
13 Year Old Girl Playing Il Silenzio (The Silence) - André Rieu
094.All About That Bass
00 - SADNESS PART 1
(Ghost) Riders In the Sky (American Outlaws Live at Nassau Coliseum, 1
(Everything I Do) I Do It For You - Bryan Adams (Boyce Avenue ft. Conn
What a wonderful world
Moon river
×