Consumer Blog
How do identities get stolen?
For all the education we do about ID theft, you may wonder how all that personal information ends up in the hands of the thieves. Javelin Research, which does a massive identity theft study each year, crunched the numbers on how info is lost. Here is my summary of the findings from 2007:
39% Lost or stolen wallets, purses, mail
Consumers carry sensitive information in their purse or wallet, then it gets into the wrong hands. Or thieves steal mail that has sensitive info in it, like credit card payments, with CC account numbers and personal checks inside.
30% Business at fault
A business that houses our Social Security or credit card numbers loses them. It could be a data breach, where a laptop computer with sensitive data is lost. Or it could be sloppy security - like throwing away sensitive documents without shredding them. Or the business could have a crooked employee who misuses the information he has access to.
21% Friend, relative or self at fault
Someone the consumer trusts accesses their personal info. A friend or relative snoops through personal documents in the consumer's home. Or it could be a service provider - a maid, home health provider or construction workers. Or the consumer himself could fall for a phishing scam, where he gets tricked into giving out his personal info to a caller or e-mailer who convinces him there's a good reason to do that.
10% Online
This is far lower than most would guess. In these cases, a hacker might break into a computer system or a home computer and raid personal info. Or a consumer might download a virus or keylogger program that steals their personal info or login info and sends it to a thief.
Moral of the story: most ID theft happens the old-fashioned way, not online. So next time someone says "I don't have to worry about ID theft, because I don't use the Internet," you can correct them.
Furthermore, in 60% of the cases, consumers could have done something to prevent their info from being lost. In other words, the prevention we talk about in our identity theft publication can go a long way toward protecting you.
Technorati Tags: id theft, identity theft, personal information, phishing, social security number, moagoconsumer, consumer protection
Posted by on April 7, 2008 3:25 pm :: Comments (2) :: Permalink
2 Responses to "How do identities get stolen?"
says:
June 13, 2008 7:56 pm
I was a victim of identity theft in 1999-2000. I did all the things one should do when this happens, and now my credit is 8+. In 10/07 I was contacted by a collection agency over a phone bill this person set up in my name during this time in 2000. They lived in New York. I have never even been to NY. I had to dig up all my paperwork that I had, copy it, mail it and worry that I was going to be forced to pay this bogus charge. Finally they dropped it. Now today, 6/13/08 I heard from another collection agency saying I owed electric and water charges to NY from 2000. I have to go through this whole thing again. How long can I be contacted over these charges from 2000 and have to go through this all over again? It doesn't seem fair that I the victim have to keep defending myself. Is there anything I can do to stop this.
says:
June 16, 2008 9:39 am
To Cathy:
This is why having a security freeze on your credit report is critical. It should stop new accounts from being opened in your name. That's the best identity theft prevention. Here are the instructions.
You can also file a consumer complaint with our office if you need help proving that you are an ID theft victim.
