Avoiding ID theft and fraud (I)

Protecting Your Identity

Identity Theft and Identity Fraud are the fastest growing crimes in Europe and the US with around 1 in 10 of us falling victim to these crimes each year. Criminals are using increasingly sophisticated and convincing methods to separate us from our hard-earned cash, and the money they are stealing is also helping fund terrorism and the illegal drugs trade.

So, what can you do to avoid becoming a victim of Identity Theft and Identity Fraud?

Here we explain what Identity Theft and Identity Fraud are, how thieves can steal your identity, things you can do to protect your identity, and what you should do if you are unfortunate enough to become a victim of Identity Theft and fraud.

What are Identity Theft and Identity Fraud?

Identity Theft

Identity theft can occur when someone obtains enough information about you, such as your name, date of birth, current or previous addresses – the sorts of things you use all the time to prove who you are – to enable them to pretend they are you.

Once they have enough information, they can use your stolen identity to commit Identity Fraud.

Identity Fraud

Stolen identities are used to open bank accounts, take over existing accounts, obtain credit cards, loans, and state benefits, buy things in your name, take out new mobile phone contracts and obtain genuine documents such as a passport or a driving licence – all without your knowledge.

When someone steals your identity and uses it for fraud, it can have a direct impact on your personal finances. The first you may know of it may be when you receive a bill for something you haven’t ordered, receive a letter from a debt collector for a debt that isn’t yours, get refused credit, or when you receive a knock on the door from the police because your details relate to a crime you know nothing about.

Whilst identity fraudsters are likely to be strangers, and possibly in a different country, they can also be family members or friends who take advantage of their relationship with you to use your identity for their own benefit.

How your identity can be stolen?

Traditionally, criminals needed physical information to steal someone’s identity. They got this by:

• Stealing a purse/wallet/bag.
• Rummaging through a bin for documents.
• “Skimming” a bank or credit card at a cash machine or card terminal.
• Stealing post.

However, because we now live in a digitally connected world, physical access to documents and information is no longer essential for a criminal to steal someone’s identity. Technology means they can get what they need via:

• Email: some emails may appear genuine, but they are aimed at encouraging you to share personal information or bank details, follow links, or unknowingly download viruses or malware onto your devices, so that criminals can access them to get the information they need.
• Text, WhatsApp, and social media messages: the messages try to convince you they are from real people, organisations, or businesses. They instruct you to follow links to websites, call numbers or send a text, with the aim of you sharing personal information or bank details. 
• Phone: you receive a “cold call” from a telephone number which appears real, and the person, or message, advises you that they are from a legitimate business or organisation. They may say that unless you act you will lose a service, face legal action, miss an opportunity that is “too good to miss”, or they may offer something free. It is all aimed at encouraging you to provide personal information, bank details, or make a payment.
• Social media: by its very nature, we are encouraged to share information on social media. However, criminals may be able to harvest information such as dates of birth, names, addresses and a whole lot more, from posts, photographs, and comments on social media.
• Data breaches: Your email and electronic devices hold an absolute goldmine of information for an identity thief, and they can be physically and digitally vulnerable to both hacking and theft.