Identity Theft - Research Paper Example

Identity Theft Identity theft has become a greater concern for society today. In the large majority of cases, identify theft is done by someone the victim knows; this can be a parent, a close family friend or a neighbor; it is usually the person that has the most knowledge and has the most access to the victim's personal information (FTC Website). Another way that identity theft occurs is through scam programs that gain a victim's information through soliciting information through fraudulent emails. Some individuals get their identities stolen when they make purchases on unsecure websites. Identity theft has become a very large problem because it is not easy to detect. In most cases people do not know that someone else is using their information until it is too late. THE CASE OF IDENTITY THEFT No one has been able to find one cause of identity theft but one thing is certain: in these current economic times people are desperate for money and are more susceptible to "Get rich quick" schemes. They are looking for ways to make extra money or to have the things they want that they are not able to afford. Criminals think of all types of ways to get people into a scam from scholarships to gift items to telling victims that their banks need them to update their information. Some scams insure that for a certain amount of money, you will receive a prize or a gift item. The individual sends the money and their personal information but they never receive the merchandise. Unfortunately personal information is not safe anywhere because of the ingenuity and cleverness of criminals today. Between the years 2003 and 2004 there were ten million people who were victims of identity theft. Approximately 48% of these victims found out about the situation within three months after it started. In other cases it was at least four years before they noticed that they were a victim (FTC Website). TYPES OF IDENTIFY THEFT There are several different types of identity theft that can happen. These include: Character Identity Theft Character identity theft is one of the most known and most common one. This happens when someone pretends to be the victim. They give the victim's name and social security number if arrested and then they leave the area. The victim is left to be in trouble for the crime; this one is very difficult to remove. Theft Of Social Security Number When an individual has your social security number they can do just about anything they want without your knowledge. The individual can get employment using the victim's name and they can open credit accounts. Credit Theft Beyond credit cards an individual can get services, merchandise and loans using the victim's information. They can go on a spending spree without taking responsibility for paying the bills. Many people find that someone went on a spending spree and ran their credit to the limit; they can also apply for more than one card. This is one type of identity theft that is more difficult to catch because the victim will not know that something is wrong until bill collectors begin to call. Medical Records Identity Theft Although we all hope that our doctors and hospitals are honest, there are sometimes dishonest people working in them. According to the FTC this type of theft is on the rise. In these situations the individual has access to social security numbers and other personal information. They can give this information to other people who do not have this opportunity. An individual may find that their insurance is cancelled for treatments that they never received (Social Security Theft Online). SCAMS THAT ARE ATTEMPTS TO STEAL IDENTITY The FTC has created a website that is very thorough at informing the public about identity theft. They list what you can do, where you can go for help and they have a list of the most current scams. Most of these scams come via email and some people are falling for them. Some of the scams that are regular include: Money Orders This scam sends an email that asks someone to be a person in America to cash money orders for the perpetrator's business. They say that they will send you emails, you will convert them to American money and then you will take $400 or so out of them and send the rest overseas. This scam is not only dangerous but the money orders are usually counterfeited and if the individual answers the email it can cost a lot of money. The new form of this scam is for the perpetrator to say they are a soldier (or other branch of the service) and is serving in Iraq and they ask the victim to cash their money orders for them because of the exchange rate difference between Iraq and the United States. Bank Updates Most people have probably received one or more of these scams. The individual sends an email that requests you to update your information. If you do, the perpetrator has all of your personal information. Usually the victim will not know the bank but they will think it is something they should do. Instead, it is wise for the individual receiving the email to call their local branch of the bank where they have their funds. Phishing and Spoofing This scam involves an email from the bank, the IRS, PayPal and others to say that the victim must update their information. This one may also say that the IRS is looking for someone or something and they need for the victim to send their information. HOW TO PROTECT FROM IDENTITY THEFT Both the FTC and the FBI list these scams on their websites and tell individuals what to do to report them. There are many things that an individual can do to protect themselves form identity theft. Knowledge is one of the first steps and checking your credit record is also important. Each year an individual can get a free credit report from the three credit bureaus (Equifax, Experian and United). The first step is to get the report and the next is to go over it looking for anything that may not be yours. If there are items on it that are not yours, the best thing to do is to put a "fraud alert" on your credit report. When a merchant sees this on the report, they are to ask for more identification but they do not always take this action. Another thing that can be done is a "credit freeze". This one is stronger and it means that no one can see your credit report without your permission. The draw back is that it can mean that the individual may not get credit in some places. Identity theft cannot be stopped all the way but an individual can make it more difficult for someone to use their information. It is important to know the facts so that you can know what to do if it happens. Works Cited Federal Trade Commission. "Identity Theft: Deter, Detect, Defend. 06 June 2009. . Federal Trade Commission. "To buy or not to buy: Identity theft spawns new products and services to help minimize risk. FTC Facts for Consumers. 2007. . Read More