Free Essay

Identity Theft Research Paper

In: Business and Management

Submitted By earlymoe
Words 4583
Pages 19
Identity Theft

Abstract

This research paper will examine what is known about identity theft. The paper begins with defining the crime and its background, followed by a review of the patterns and incidences of identity theft. This review will include data on the extent and costs of this crime. Discussion will then focus on victims and perpetrators of identity theft. Common techniques used by identity thieves will be explored along with tips to protect consumers and businesses from having their identities stolen or data breached. Legislation in place to prevent and prosecute identity theft will be discussed. How to report identity theft is also explained.

Defining Identity Theft

The U.S. Department of Justice defines identity theft, also called identity fraud, as “all types of crime in which someone wrongfully obtains and uses another person’s personal data in some way that involves fraud or deception, typically for economic gain” (U.S. Department of Justice, 2015). Identity thieves use personal data such as Social Security numbers, bank account or credit card numbers to personally profit at the victim’s expense. These breaches allow thieves to take funds out of bank accounts or in the worst cases, take over a victim’s identity completely, running up huge debts and committing crimes using the victim’s name. Victims not only suffer the out-of-pocket financial losses, but they may have to rebuild their reputation in the community due to the perpetrator’s actions (U.S. Department of Justice, 2015). Identity theft is expected to surpass traditional theft as the leading form of property crime. Security analysts state everyone should prepare to be a victim of identity theft at some time in their lives (Anderson, 2013). Identity theft is a three stage process: acquisition, use, and discovery (Office of Justice Programs, 2011). The crime can begin with a lost or stolen purse or wallet. Perhaps a data breach or the credit information was stolen during a transaction. Thieves use stolen personal data to commit medical identity theft, tax fraud, and to receive governmental benefits due the victim (Office of Justice Programs, 2011).
Background
One of the first notorious cases occurred circa 1998 (U.S. Department of Justice, 2015). A convicted felon obtained personal information and charged over $100,000 to his victim’s credit cards. He bought a home, motorcycles and guns in the victim’s name and then filed for bankruptcy (U.S. Department of Justice, 2015). In response to this case and others like it, Congress passed legislation making identity theft a federal offense with the Identity Theft and Assumption Deterrence Act (ITADA) of 1998. Since then, most states have passed their own legislation towards fighting identity fraud (U.S. Department of Justice, 2015). The Federal Government defines identity theft under three behaviors: 1) unauthorized or attempted use of existing credit cards, 2) unauthorized or attempted use of other existing accounts, for example, a checking account, and 3) unauthorized use of personal information to open new accounts, obtain loans, or to commit a crime in the victim’s name (BJS, 2006).
Data Collection on Identity Theft A number of organizations/agencies gather data in regard to identity theft. These include government agencies, nonprofit organizations, popular media sources and credit reporting companies. Data collection amongst these groups offer varying estimates as to the extent of identity theft and its costs to society (Office of Justice Programs, 2011). As a result of the Identity Theft Assumption and Deterrence Act of 1998, the Federal Trade Commission (FTC) started collecting consumer complaints involving identity theft in 1999 (BJS, 2006). Information is obtained from the victims via telephone or the FTC website and stored in a database. This database is available to all law enforcement agencies to help with identity theft cases (Office of Justice Programs, 2011). Another source of data in regard to identity theft is the Internet Crime Complaint Center (IC3). This agency is a result of collaboration between the National White Collar Crime Center and the Federal Bureau of Investigation (Office of Justice Programs, 2011). The IC3 deals with complaints related to all Internet crime, including identity theft. Information is collected on the “victim and offender by state, demographic characteristics, monetary losses, and law enforcement contact” (Office of Justice Programs, 2011). Complaints are taken directly from the alleged victim or a third party representative (Office of Justice Programs, 2011). The Federal Trade Commission’s (FTC) Consumer Sentinel Network (CSN) compiles information about identity theft and consumer fraud from the FTC and other agencies, including the Federal Bureau of Investigation, United States Secret Service, Attorney Generals Offices, and local law enforcement agencies. According to the FTC’s Consumer Sentinel Network Data Book for January – December 2013 (published in 2014), the CSN received over 2 million consumer complaints in 2013 (Federal Trade Commission, 2014).
Statistics
The Bureau of Justice Statistics (BJS) published a 2012 study on Victims of Identity Theft. The study found that approximately 16.6 million people, or 7% of all U.S. citizens 16 years of age or older, had reported one or more incidents of identity theft (BJS, 2013). Approximately 85% of reported identity theft incidents involved the fraudulent use of existing account information, such as credit card or bank account information (BJS, 2013). About 14% of identity theft victims experienced out-of-pocket losses of $1 or more, and half of those suffered losses of $100 or less. Victims who experienced the most significant financial, credit and relationship problems and severe emotional distress were those whose information was used to open a new account (BJS, 2013). About 36% of all identity theft victims reported moderate or severe emotional distress as a result of an incident (BJS, 2013). Losses, both direct and indirect, cost Americans $24.7 billion (BJS, 2013). The study found that the higher a household’s annual income, the more likely someone in that household would be victimized by identity theft. Households with incomes in excess of $75,000 had a higher prevalence of identity theft than those in other income brackets (BJS, 2013). There were no significant differences in prevalence of bank account misuse amongst whites, blacks, and Hispanics. However, in regard to existing credit card accounts, more white-non-Hispanics were victimized than both Hispanic and black non-Hispanics. Rates of victimization did not vary significantly by sex in either category (BJS, 2013). The study reports that the majority of identity theft victims weren’t aware of how their account information was obtained. About 32% of victims knew how their account information was obtained (BJS, 2013). Overall, about 91% of identity theft victims did not know who perpetrated against them (BJS, 2013) . Although depending on the type of identity theft, a victim may or may not be more likely to know the identity of the offender. Victims who had personal information used to open a new account were more likely to know their offender than victims of fraudulent use of an existing account (BJS, 2013). Credit card data theft increased 50% from 2005 – 2010, according to the U.S. Department of Justice (Anderson, 2013). Single credit card numbers can be sold anywhere from $10 - $50, and there are millions for sale (Anderson, 2013). In 2007, there were approximately 1 million programs written to steal one’s credit card information (Anderson, 2013). By the writing of Anderson’s article in 2013, the number of programs had grown to approximately 130 million (Anderson, 2013). However, identity thieves know it’s most profitable to hack into businesses where card numbers can be stolen by the thousands or even millions (Anderson, 2013).
The following table, provided by the Consumer Sentinel Network, shows the total number of fraud complaints and amount paid for calendar years 2011 – 2013:
Total Number of Fraud Complaints & Amount Paid CY | Complaint Count | Percentage Reporting Amount Paid | Amount Paid | | Total | Reporting Amount Paid | | Reported | Average | Median | 2011 | 1,040,439 | 673,694 | 65% | $1,547,435,639 | $2,297 | $538 | 2012 | 1,111,119 | 658,013 | 59% | $1,412,308,747 | $2,146 | $500 | 2013 | 1,165,090 | 707,382 | 61% | $1,622,784,979 | $2,294 | $400 |
(Consumer Sentinel Network, 2014) Further analysis of the data tells us that of all complaints received by CSN in 2013, identity theft complaints accounted for 14% of all complaints (Federal Trade Commission, 2014). The most common type of identity theft was government documents/benefits fraud (34%), followed by credit card fraud (17%), phone or utilities fraud (17%), and bank fraud (8%) (Federal Trade Commission, 2014).
Vulnerable Victims A 2012 study by the Identity Theft Assistance Center found that child identity theft is the most difficult to discover and resolve than that of adult identity theft (Mason, 2012). The issue is the child typically doesn’t find out until years later that their personal identity information was stolen and their credit histories most likely damaged. Most disturbing about child identity fraud is the perpetrator is likely a family friend or relative—many times the child’s own parents—who steals the child’s identity to open credit accounts or obtain loans. This type of fraudulent activity is defined as “friendly fraud”. According to the study, more than 70% of reported child identity fraud is friendly fraud (Mason, 2012). Issues with reporting on child identity fraud is that it is reported later in the child’s life, typically long after it has occurred. Seniors are also vulnerable to identity theft. They are commonly duped by telemarketing scams where they are asked to provide personal information such as their social security number, birthday or Medicaid ID number (Identity Theft Resource Center, 2007). Seniors can also fall victim to phony tax preparers who sell their social security numbers to scammers. Offenders may also read obituaries so they can file a fraudulent tax return in the deceased person’s name. This causes big problems for the surviving spouse when they try to file taxes later (Identity Theft Resource Center, 2007). Medical ID theft is also problematic for seniors. Because they have more frequent contact with medical personnel, providers can gain access to insurance information in order to falsely claim medical services, then issue fraudulent billing to the senior and their insurance carrier (Identity Theft Resource Center, 2007). Employees at nursing homes and long-term care facilities have access to seniors’ information and can misuse their finances. This kind of fraud is typically reported to a long-term care ombudsman in the state in which it occurred. Military personnel are also at special risk of identity fraud. Military veterans report the most incidents involving identity fraud than any other group (Identity Theft Resource Center, 2007). The problem is so prevalent the Federal Trade Commission confirmed July 17th as “Military Consumer Protection Day” to inform military personnel about the threats of identity theft (Identity Theft Resource Center, 2007). According to the Identity Theft Resource Center (2007), military personnel are prime targets because they are “conditioned” to offer any personal information asked of them throughout their service to the country. Once they leave the service, this personal information is out there, leaving them vulnerable to ID theft. They also fall victim to “data grabbers” who target veterans by offering some small perk due to their veteran status. They then sell the personal data provided by the veteran to the highest bidder (Identity Theft Resource Center, 2007)
What Thieves are Seeking
According to cybersecurity expert Mark Pribish, identity thieves want specific information from their victims (Anderson, 2013): * User names, passwords and PIN numbers * Social Security numbers and birthdates * Phone, utility, bank and credit account numbers * Employment and student identification numbers * Driver’s license and passport numbers * Professional license numbers * Insurance identification numbers * College or university financial aid form information
Offenders of Identity Theft The scarcity of research on identity theft along with the low clearance rate doesn’t allow for a clear picture of what the offenders are like. From what is known about offenders, they are diverse in terms of race, age, gender, and criminal background. In attempt to understand the kind of person who commits identity theft, a study was done by evaluating U.S. Secret Service’s closed cases of identity theft from 2000 – 2006 by Gordon, Rebovich, Choo and Gordon (Gordon, 2007). They found approximately 42.5% of offenders were between the age of 25 and 34 when the case became open for investigation (Gordon, 2007). In terms of offender race, Gordon and his team found that 54% of the offenders were black, 38% were white, and less than 5% were Hispanic (Gordon, 2007). The study found that nearly 75% of offenders were male. Gordon and his team found that nearly 25% of the offenders in the study were foreign born (Gordon, 2007). The top five countries represented by offenders were, in order from most to least, Mexico, Nigeria, the United Kingdom, Cuba and Israel (Gordon, 2007). The majority of offenders, as reported by Gordon and his team of researchers, had no prior arrests. Those who did have criminal histories tended to commit fraud and theft-related offenses (Gordon, 2007).
Techniques
Many people have no idea how easy it is for criminals to get their personal information without breaking into their homes. To commit identity theft, offenders must obtain identifying information and use it to acquire goods or cash. Thieves have created a number of strategies to accomplish this. Researchers, along with law enforcement agencies, have gathered data primarily from victim surveys and interviews with actual offenders to learn the techniques they employ to obtain the information (Gordon, 2007). The first step when committing identity theft is to get personal information on the victim. Perpetrators obtain this information from wallets, purses, homes, cars, offices and businesses or institutions that maintain customer, employee, patient, or student records (Office of Justice Programs, 2011). Social security numbers are prevalently used for identification and account numbers by insurance companies, universities, cable companies, the military and banks (Office of Justice Programs, 2011). The offender may steal a purse or wallet, work at a job that provides him/her access to a victim’s personal and account information, or they may buy the information from someone who does. Offenders may also steal a victim’s mail, dig through their trash, or by doing a search on the Internet (Office of Justice Programs, 2011). The most common way identity theft is perpetrated is by getting access to a person’s credit card information (Federal Trade Commission, 2014). Another technique researchers discovered happening was organized groups planting a person as an employee at a mortgage lender’s office. These groups are also reported to bribe bank employees, car dealership employees, government and hospital staff to obtain personal information in order to steal it and use it for personal gain (Federal Trade Commission, 2014). Offenders are reported to obtain credit card numbers by using fake emails or what is called “shoulder surfing”, which is when the offender peeks over a person’s shoulder as they type in a credit card number (Federal Trade Commission, 2014). According to the FTC, many victims knew how their information was obtained and some say they knew the person who stole it (Federal Trade Commission, 2014). After getting access to a person’s private information, offenders often use it to get a driver’s license or another state identity card so they can obtain cash or goods. Offenders will use the information to apply for credit cards, open bank accounts and deposit counterfeit checks, to withdraw funds from an existing account, apply for loans, obtain utility or phone accounts, or to apply for government assistance programs (Federal Trade Commission, 2014). Another method used by offenders is setting up fake Wi-fi “hotspots” at public Wi-fi hotspots, such as hotels, airports and restaurants (Prevent and Report Identity Theft, n.d.). Users are safe if they log into the company’s official Wi-fi hotspot, generally speaking, but must be aware of hotspots that appear to be from the business they are patronizing (Prevent and Report Identity Theft, n.d.). A number of identity theft criminals are not computer savvy. These criminals hope people are unaware and trusting enough to leave their wallet, filled with cash, credit cards and personal identification inside an unlocked vehicle. This technique is hard to trace and prosecute, thus preferable to perpetrators of identity fraud.
Legislation Relating to Identity Theft The most substantial attempts to stop identity theft have been in the form of federally enacted laws. There are a number of federal laws to address identity theft, including social security fraud, welfare fraud, computer fraud, wire fraud, and financial institution fraud (Office of Justice Programs, 2011). These laws focus on criminalizing identity theft. The first federal law enacted to fight identity theft was in 1998 with the Identity Theft Assumption and Deterrence Act (18 USC, 1028). This law allows law enforcement to thoroughly investigate a complaint and for victims to recoup any financial losses from the theft. It also extended the range of the crime to include unlawful use of information and documents with punishment of up to 15 years and a fine of up to $250,000 (National Criminal Justice Reference Service). This legislation established the Federal Trade Commission (FTC) as the Federal Government’s central point for reporting identity theft by creating the Identity Theft Data Clearinghouse (National Criminal Justice Reference Service). It eliminated legal loopholes to include not only crimes to produce or possess false identity documents, but also made it illegal to steal another person’s personal information (National Criminal Justice Reference Service). Congress enacted the Fair and Accurate Credit Transactions Act (FACTA) in 2003 (Federal Trade Commission, 2014). This law allows consumers to access one credit report for free once per year. The law requires merchants to leave all but the last five digits of a credit card number off store receipts (Office of Justice Programs, 2011). It requires a nation-wide system of fraud alerts to increase the chance of offenders being caught; requires fraud alerts to be put in credit files; and requires lenders and credit agencies to take action before the victim knows they’ve been affected (Office of Justice Programs, 2011). As mentioned, FACTA allows consumers to place fraud alerts in their credit files. If a person thinks they are vulnerable to impending identity theft, they can request an “initial alert”. If a person has been a victim of identity theft and have filed charges with police, they can request an “extended alert”. Once an extended alert is in place, it will remain there for seven years and the victim has access to two free credit reports every 12 months (Office of Justice Programs, 2011). This law says that for the next five years, credit agencies must remove the victim’s name from any list utilized for prescreened credit or insurance offers (Office of Justice Programs, 2011). Finally, military personnel have the option to place an “active duty alert” in their credit files when they are away from home serving active duty (Office of Justice Programs, 2011). The Identity Theft Penalty Enhancement Act (ITPEA) was passed by Congress in 2004. It put into place a new federal crime of aggravated identity theft. This law forbids the “knowing and unlawful transfer, possession, or use of a means of identification of another person during and in relation to more than 100 felonies” (Office of Justice Programs, 2011). The law defined these felonies as any crime committed using the mail, bank, or wire for fraudulent purposes; immigration and passport fraud; and unauthorized use of another person’s social security number. This law institutes a minimum of two years in prison, served at the same time for the accompanying felony (Office of Justice Programs, 2011). States have followed the federal government in attempt to protect consumers and victims of identity theft. They continue to strengthen laws by increasing fines and penalties and broadening law enforcement’s ability to investigate (Office of Justice Programs, 2011). Some states also implemented laws specifically to help identity theft victims. Victims are protected against discrimination. They can have records expunged relating to the crime against them. There are also programs in place to help victims clear their names and settle their financial predicaments (Office of Justice Programs, 2011). These laws have given law enforcement agencies the backing needed to investigate and make arrests in regard to identity theft but it’s not yet clear if the efforts are working. Offenders will typically find ways to circumvent the laws aimed at stopping their fraudulent activities (Office of Justice Programs, 2011).
Identity Theft Prevention for Consumers Identity theft can happen to anyone, no matter how careful one is in protecting their personal information. To lessen one’s chances of becoming a victim of identity theft, consumers should consider the following tips (Identity Theft Resource Center, 2007): * Don’t carry a Social Security card in your wallet nor write it on checks. Only provide this number if absolutely necessary * Never write a PIN to a credit/debit card on a piece of paper that is kept in a wallet * Watch out for “shoulder surfers”, offenders who look over the shoulder of someone entering personal information into a telephone or computer * Collect mail promptly. Ask the post office to hold mail when gone from home for more than one or two days * If bills or financial statements don’t arrive timely, contact the company or bank * Always keep receipts * Destroy unnecessary receipts, credit offers, account statements, expired credit cards, etc. to prevent offenders from retrieving out of the trash * Store personal information in a safe place and don’t leave it lying around * Check your credit report at least once per year
Consumers should practice the following tips to prevent being victimized by online scams (Identity Theft Resource Center, 2007): * Attempt to locate an online seller’s physical address and phone number * Do an Internet search for the company name and website to determine credibility * Read monthly statements closely * Don’t wire money to strangers, to sellers who insist on wire payments, or to someone claiming to be a family friend who wants to keep the request a secret * Don’t reply to messages asking for personal or financial information. This applies to email, a phone call, text message or ad * Don’t play a foreign lottery as it’s illegal and typically they ask that one wire money to collect winnings (although there are no winnings) * Install firewalls and reputable anti-virus software on home computer
Preventing Privacy and Security for Businesses After evaluating a large number of data breaches, Daniel Solave (2014) discovered two things that can help businesses prevent data breaches: upper management must have a clear understanding of the risks, the laws, and the importance of protecting data and privacy (Solave, 2014). The second prevention tactic is for businesses to look at human behavior of employees, which studies show is the biggest risk to data security (Solave, 2014). Addressing human behavior is best accomplished through effective training. It is imperative for the workforce to be aware that internal threats, primarily human behaviors, are the leading cause of data breaches. If employees don’t receive effective training, they are prone to engage in risky data security practices (Solave, 2014). Solave’s studies found that 90% of malware infection is due to human interaction with the computer (Solave, 2014). He found that 95% of data breach incidents involved human error at some level (Solave, 2014).
How to Report Identity Theft Once a person finds their wallet has been stolen or their information was compromised in some other manner, the following steps should be taken (Identity Theft Resource Center, 2007): * Report it immediately to the corresponding financial institution * Report the theft to local police immediately * Contact the credit reporting agencies and request a flag to the compromised account
Reporting Issues Of all complaints made in 2013, only 41% contacted law enforcement. Of those victims, 74% notified a police department and 61% percent said a report was taken (Federal Trade Commission, 2014). This data indicates that identity theft is often not reported and what is reported rarely gets fully investigated. According to Mark Rasch, a cybersecurity expert specialist and former federal cybercrime prosecutor from Bethesda, Maryland, “Police don’t want to be bothered. It’s a difficult crime to investigate, and the feeling is, ‘Oh, we’re never going to catch these guys.’” (Anderson, 2013). Rasch went on to say most local law enforcement don’t have the manpower and/or expertise to investigate minor identity fraud complaints, and the FBI is “only interested in massive cases involving 100 victims or more” (Anderson, 2013). According to Phoenix police, the improbability of catching perpetrators of identity theft or related crimes makes these very difficult cases to solve (Anderson, 2013). Rasch went on to say many merchants would rather “clean up the damage from an attack than pay for better preventive measures”. Rasch believes this trend will continue unless customers put the pressure on businesses to beef up their cyber security. Financial institutions such as banks have gotten wise to identifying possible fraudulent activity and are quicker to respond appropriately. To this point, banks and other financial institutions have made it almost painless for victims by covering immediate losses. Sustaining this approach will be questionable as the problem continues to escalate (Anderson, 2013).
Conclusion
Identity theft is a nationwide problem affecting millions of people every year. It typically involves an offender who steals or buys a victim’s personal identity information from someone they know or from an agency employee with access to that information. The information is then used fraudulently to obtain a credit card, loan or other financially related scheme. The victim is likely to be between the ages of 18 and 55, has an income more than $75,000 per year and does not know his/her offender (BJS, 2013). Thieves are typically motivated because they need money. Many thieves want money to maintain a lifestyle that includes drugs and living wildly beyond their means. Identity thieves justify their actions by claiming they never caused “actual harm to actual individuals” (Identity Theft Resource Center, 2007). Federal and state legislators have addressed the problem by enacting laws defining identity theft as a crime, laying out clear consequences for offenders, and increasing protection to consumers and victims. Along with legislation, a number of non-profit agencies and other organizations have created campaigns to educate consumers on how to protect their personal data. It is suggested that additional research be conducted to find out if current legislation and law enforcement tactics are working to decrease identity theft. This research would assess and make recommendations as to future preventive strategies involving identity theft (Gordon, 2007).

References

Anderson, J. C. (2013, April 14). USA Today. Retrieved from USA Today.
BJS. (2013).
Federal Trade Commission. (2014). Retrieved from Federal Trade Commission.
Gordon, R. C. (2007, October). Center for Identity Management and Information Protection Utica College. Retrieved from http://www.utica.edu/academic/institutes/ecii/publications/media/cimip_id_theft_study_oct_22_noon.pdf
Identity Theft Resource Center. (2007). Retrieved from http://www.idtheftcenter.org
Mason, J. (2012, December 31). Identity Guard. Retrieved from http://www.identityguard.com/identity-theft-resources/child-identity-theft/study-confirms-growth-of-child-id-theft/ money.usnews.com. (2013, December 18). Retrieved April 15, 2015 money.usnews.com. (2014, July 21). Retrieved April 15, 2015
National Criminal Justice Reference Service. (n.d.). Retrieved from https://www.ncjrs.gov/whatsncjrs.html
Office of Justice Programs. (2011, October). Retrieved from Office of Justice Programs.
Prevent and Report Identity Theft. (n.d.). Retrieved from usa.gov: http://www.usa.gov/topics/money/identity-theft/prevention.shtml
Solave, D. J. (2014). Preventing Privacy and Security Disasters. Retrieved from http://www.teachprivacy.com
U.S. Department of Justice. (2015). Retrieved April 15, 2015

Similar Documents

Premium Essay

Identity Theft Research Paper

...internet became universal, identity theft became a huge problem as more and more information, private or public, are becoming available online. People gain access to other people’s information more easily and therefore the information can be used in personally and industrially by third parties without the owner's’ actual consent or knowledge. This is identity theft. These information may include the owner’s name, age, sex, appearance, phone number, email address, home address, username and password for accounts, the school they attended, hobbies and other activities they involved in. These information, if shared, may result in the host getting spammed, scammed and other risks that may harm them physically or mentally. Signs that...

Words: 518 - Pages: 3

Free Essay

Security Basics

...Identity theft is the crime of using someone else's personal information for self-gain. According to an article in USA Today, identity theft is surpassing traditional theft and is becoming the leading form of property crime (Anderson). The Federal Trade Commission estimates that more than 9 million individuals are victims of identity theft each year. The Justice Department puts the figure at more than 3.5 million households (Anderson). Anyone can become a victim of identity theft and it is not limited to the financial activities of one’s life. People’s identity is also stolen in order to commit criminal activities. Both activities are defined as fraud and are punishable by law if caught. Financial identity theft or fraud includes bank fraud, credit card fraud, computer and telecommunications fraud, social program fraud, tax refund fraud, and mail fraud. In fact, a total of 25 types of financial identity fraud are listed and investigated by the United States Secret Service (Obringer). In 1997, Secret Service agents made approximately 10,000 financial crime arrests which 94 percent involved identity theft (Obringer). Fifteen years later, Javelin Strategy & Research reports that over 12 million financial identity theft cases were reported (Javelin Strategy & Research). Other types of identity theft usually involve financial elements as well but are typically committed to fund some sort of criminal enterprise. Criminal activities include gaining...

Words: 752 - Pages: 4

Premium Essay

Identity Theft and Fraud

... Always monitor the bank statement and etc. Checking the mail for missing account statements is another way to protect from identity theft and fraud. If someone going on vacation that person should ask the post office to hold all their mail until that person came back, to prevent identity theft and frauds. People should invest in a shredder to shred unwanted information. Use a secure website to access information, never enclose personal information by the phone. Check bank statement and credit card statement very careful each month to see any unwanted purchase. If that person sees any unwanted purchase notices their credit card immediately. Thesis: One day you receive a call from your bank, stating you had just made a purchase for a random estimate of 5,000 dollars. But you did not go on a shopping spree. Your identity just has stolen. How secure is your identity? Do you ever wonder about your identity? Ways to prevent/protect yourself from identity theft and frauds. I. One thing you should be aware about is your bank account. A. Once your ATM has been compromises change your pin right away. B. Get new ATM cards if it has been compromised. C. Contact the bank if you see any suspense in your bank account. I. Another way is keeping your social security secure in a safe. A. Do not write your Social Security card piece of paper. B. Do not give out your personal information to strangers. II. Monitoring your Credit Card Statements A. Check...

Words: 2515 - Pages: 11

Premium Essay

Theories of Computer Security

...observed that there has been a tremendous rise in the threats of malicious attacks globally—a appreciable increase of 71% between 2008 and 2009 was noted. A specie and very popular scam is Phishing and Identity Theft (IDT). This type of online crime is a fraudulent scheme whereby attackers invade the victims’ privacy and obtain their personally identifying information (PII) such as credit card numbers, CVV numbers, credit card reports, social security numbers, drivers license numbers (usually used in gaining short-term driving jobs), telephone calling cards, ATM card details, Mortgage details, date of birth details, passwords, PIN numbers, etc. (Hedayati, 2012). These details are used by online criminals to perpetrate larceny against their victims who may have compromised their PIIs through social engineering—a preliminary attack technique used by the attackers to trick victims into compromising such details to the criminals (Hedayati, 2012). Over the past decade, a well over 500 million of PIIs belonging to the United States residents kept and stored in various corporate or government and other institutional databases have been found to be stolen or lost to these criminals through privacy breaches (Douglas, 2013). According to Gartner Group, losses associated with phishing and ID theft suffered by US banks...

Words: 1209 - Pages: 5

Premium Essay

Unit 10

...Ayoub Elmahi NT1110 Research Paper IDentity Theft Ms. Janine Aleong Thursdays 9AM Research Project: IDentity Theft History Much before the internet technology had gained popularity, identity theft was common in form of dumpster diving and going through your trash in case you have thrown away any personal identifying information such as bills or documents. But before that, identity theft was known as a white collar crime and it was pretty dangerous. This means that if the id thieves wanted to steal your identity they would just kill you for it and just assume you identity and walk away. Back in those days the thieves also used phone scams to gather information about you. For example, the identity thief would just call someone and say they had won a huge prize and that they needed their personal information such as social security number and date of birth to verify their identity. This information was quite sufficient for them to commit crimes and leave you under debts. However with the rise of the internet technology, identity theft has become a more common crime and even easier and safe to perform without being caught. The quick growth of id theft History of identity theft had suddenly taken a sharp turn at about the time free exchange of personal and financial information become common by the use of computer and electronic devices. Identity theft is today considered to be one of the fastest growing crimes throughout the world. This rapid growth is mainly because of...

Words: 452 - Pages: 2

Free Essay

Professional Knowledge and Abilities

...Human Resource Management Human Resource Management Human Resource Management (HRM) is defined as “the function within an organization that focuses Federal Trade Commission The Federal Trade Commission was chosen as a source because it is a federal entity that was established in 1914 to protect America’s consumers and has been serving the public for nearly 100 years (Federal Trade Commission). The Federal Trade Commission website was examined using the CARS (Credibility, Accuracy, Reasonableness, Support) test. The credibility of this site is shown by the reliable contact information such as the list of offices/bureaus, address, and phone numbers. The Federal Trade Commission’s reputation is proven reputable by nearly 100 years in service. The quality control of the site is shown through the Data Quality Act which provides the “Guidelines for ensuring and maximizing the Quality Objectivity, Utility, and Integrity of information disseminated by the Federal Trade Commission” (Federal Trade Commission), the publication of its federal rule making authority in Title 16 of the Code of Federal Regulations, and the Commission’s semiannual Regulatory Agenda and annual Regulatory Plan. This site is held accountable for its information through the publication of reports such as the Performance and Accountability Report and the Performance and Accountability Summary which is a Citizen’s Report. The accuracy of this site is shown by the up-to-date, comprehensive information...

Words: 668 - Pages: 3

Free Essay

What Is Identity Theft

...Identity Theft and Technology http://idpromed.com/identity-theft/ http://idpromed.com/identity-theft/ Research Paper Computer Structure and Logic NT1110 Tenisha Copeland May 20, 2014 What is Identity Theft? Identity theft is when someone takes someone’s personal information such as their name, birthdate social security number, banking information, driver’s license number and other information to commit fraud or other crimes. In earlier times people had to go in your wallet write down your information, which may have taken more time and effort. These days I would like to say that 85% of identity theft happens with computers. Computers are fast making it easier to trick people into getting their information with techniques such as phishing, hacking, shoulder surfing, spam and dumpster driving. Many people today probably will say with all the new technology rapidly progressing, it makes it easier for people to steal their information. Although this may be true there are three ways to protect you and your information. Two-Step Verification Today many internet users think that having just that one password for all their online accounts is idea to remember or have quick access. Although this may be a good technique it is also dangerous and easier for a hacker to get your information. Two-step verification is just an extra step to protect you when logging in by requiring you to enter your password and then an additional password. Some websites will ask you to enter...

Words: 905 - Pages: 4

Premium Essay

Identity Thief an Old Problem in a Modern Era

...Identity Thief an Old Problem in a Modern Era Your name KNOCK, KNOCK!!! …Who there? It Is I...I who? This is the question everyone must pose nowadays, for we don’t know who actual is behind that door. It could be your friend, family member or you banker but worst yet it can some devious individual posing to be someone you know or impersonating someone else to gain your trust in order to steal from you by stealing your identity. Identity thief has become a common practice in this Age of High Tech. One such area is the internet which has made transmission of our personally identifying information quick and easy, and sometimes less secure. Therefore just about anyone and everyone is susceptible to getting their identity stolen or compromised. So how did we get here you may ask? Well, that a good question. Brief History Identity thief is not something new despite the belief that it began with the internet. It has been around for thousand years or more. One of first recorded Identity thief in history and perhaps one of the greatest to occur happen in the Bible. It is The Blessing of Jacob by Deception (Genesis 27:1-46, King James Version). Jacob the youngest son of Isaac deceives his father by claiming to be his oldest brother, Esau (eldest son of Isaac) in order to receive the blessing that was reserved for the firstborn son. And Jacob said unto his father, I am Esau thy firstborn; I have done according as thou badest me: arise, I pay thee, sit and eat of my venison,...

Words: 2005 - Pages: 9

Premium Essay

Identity Theft

...NT1110 Aug 26, 2013 Research Paper: Identity Theft Identity theft, also known as ID theft is a crime in which a criminal obtains key pieces of personal information, such as Social Security or driver's license numbers, in order to pretend to be someone else. The information can be used to obtain credit, merchandise, and services using the victims’ name. Identity theft can also provide a thief with false credentials for immigration or other applications. One of the biggest problems with identity theft is that very often the crimes committed by the identity theft expert are often credited to the victim. A thief could take out a mortgage in your name or commit a crime and pretend to be you when caught. Thieves can even use your personal information to apply for a job or use your medical insurance. Identity theft has become one of the world’s leading crimes in the world. Identity theft drastically increased in the year 2000 by nearly 52%, occurring every half second all across the world. There are two primary types of identity theft: ~Account takeover ~True name theft Account takeover identity theft refers to the type of situation where an imposter uses the stolen personal information to gain access to the person’s existing accounts. Often the identity thief will use the stolen identity to run up current credit lines, by changing your address so that you never see the credit card bills that the thief constantly runs up. True name identity theft means that the thief uses...

Words: 485 - Pages: 2

Premium Essay

Nt1110

...Stephens NT1110 Unit 10 Research Project Identity Theft “But he that filches from me my good name/ Robs me of that which not enriches him/ And make me poor indeed.” Shakespeare, Othello, Act 3 Scene 3 For as long as people have created civilizations there has been some sort of identity theft. Identity theft is when someone wrongfully obtains and uses another person’s personal data in some way that involves fraud or deception, usually for economic gain. Your name, birth date, address, Social Security number, your bank account or credit card number, your telephone calling card number, and other valuable identifying data can be used, for identity theft if they were to fall in the wrong hand, for personal profit at your expense. That bad part is that in the past it was not even a crime. In October 30, 1998 through the enactment of the Identity Theft and Assumption Deterrence Act of 1998, 18 USC & 1028 (a) (7). This Act states that identity theft occurs when a person: “knowingly transfers or uses, without lawful authority, a means of identification of another person with the intent to commit, or to aid or abet, any unlawful activity that constitutes a violation of Federal law, or that constitutes a felony under any applicable State or local law.” There are several ways a thief can steal your identity. And there are also just as many way to prevent it...

Words: 1213 - Pages: 5

Free Essay

Internet Fraud

...Internet Fraud Today we live in a modernized society that is dependent on computers and the internet like the human body is dependent on its brain and heart for ordinary daily function. In 1973, the U.S. Defense Advanced Research Projects Agency (DARPA) initiated a research program to investigate techniques and technologies for interlinking packet networks of various kinds. The objective was to develop communication protocols which would allow networked computers to communicate transparently across multiple, linked packet networks. This was called the Inter netting project and the system of networks which emerged from the research was known as the "Internet. (2) The Internet is constantly developing, becoming a greater power each day and it has affected our world in various negative and positive ways. The internet serves as an important data base worldwide. It is the greatest source of information, news, entertainment, education and even local and global interactions such as sales and trade are performed through the internet making life so much easier and hustle free. Computers are emerging almost in every aspect of our lives usually they are making everything very convenient for us, permitting us to shop from home, research information, work online, and communicate with our friends, family and acquaintances all around the world with speed. As technology continues to improve more benefits and disadvantages start to evolve. Internet access is no longer a luxury...

Words: 1347 - Pages: 6

Premium Essay

White Collar

... where a person takes the victim's money but does not perform the work promised; investment frauds and controlling their money for the future; and health and medical scams, which promise the equipment and service that do not perform as advertised. Also, research was taken from a survey from a rehab center with most of them senior citizens. The primary advice for preventing such white-collar crimes is to never give money for a product, service, or investment based upon a person's or business promise without first conducting a thorough background check. Key Terms: Senior Citizen, White Collar Crime, Prevention, Con Artists White Collar Crime against Senior Citizens Senior citizens are some of the most vulnerable targets when it comes to fraud and scam within white collar crime. There are many reasons why many people target the senior citizens and elderly mostly including but not limited to: because they are too polite and have good manners. For example, the elderly will usually not say no to people they are talking to. One of the main reasons that senior citizens have a problem is when they do find out about the scam and/or fraud; they are too embarrassed to report to the police or even their family members. This paper will focus on why the elderly are being targeted, the different types of white collar crime committed against them, and how they can be prevented. After speaking with a majority of the senior citizens, and some of their families members, about crime against...

Words: 1862 - Pages: 8

Premium Essay

Identity Theft

...Identity is yours and only yours “But he that filches from me my good name/Robs me of what not enriches him and makes me poor indeed” --- Shakespeare Crimes are not always on the rise; with tough and stringent laws and hard work of excellent law enforcement agencies the rate of crime can always be controlled. For example the crime rate in the New York City went down considerably in the beginning of this decade, with the introduction of new policies by the new government. There is one type of crime, which has consistently grown every year in the last decade, and also has been the fastest growing crime. It is a neither gun crimes nor the use and abuse of certain drug; it is identity theft. When searched for fastest growing crime on google.com the unanimous answer turned out to be identity theft. This crime basically proves that there is no doubt in the fact that there is something going wrong when dealing with identity theft. It seems like there is a piece of the puzzle which is missing. The main focus of this paper is to put some light on the issues concerning with identity theft, how it takes place in various manners and what are the current laws in place to act against identity theft. The role of credit card companies to deal with identity theft is also mentioned. Identity theft and identity fraud are words used to refer to all degrees of crime in which someone wrong fully acquires and exploit individual private information in numerous ways that engage scam or trickery...

Words: 1086 - Pages: 5

Premium Essay

Identity Theft Paper

...Identity Theft John Smith Concepts and Applications of Information Technology 7 April 2012 Richard Jones Identity Theft Identity theft happens when someone steals your personal information and uses it without your permission. It’s a serious crime that can damage your finances, credit history, and reputation. It can take time, money, and patience to resolve. Once identity thieves have your personal information, they can drain your bank account, run up charges on your credit cards, open new utility accounts, or get medical treatment on your health insurance. Furthermore, the internet offers access to a world of products and services, entertainment and information. At the same time, it creates opportunities for scammers, hackers, and identity thieves (Privacy and Identity). Identity thieves are resourceful. They dig through your garbage, the trash of businesses, or public dumps. They may work or pretend to work for legitimate companies, medical offices, clinics, pharmacies, or government agencies, or convince you to reveal personal information. Some thieves pretend to represent an institution you trust, and try to trick you into revealing personal information by email or phone. Some of the clues that your identity has been stolen are for example: withdrawals from your bank account that you can’t explain; don’t get your bills or other mail; debt collectors call you about debts that aren’t yours; unfamiliar accounts or charges on your credit report; medical...

Words: 908 - Pages: 4

Premium Essay

Computer Crime

...Cyber Crime Research Presentation by the Australian Institute of Criminology Dr Russell G Smith Principal Criminologist The Australian Institute of Criminology • Australia's national research and knowledge centre on crime and justice • Core funding from the Australian Government, with income for contract research from public and private sectors • Criminology Research Advisory Council representing all jurisdictions • Staff of 30 academic researchers and 25 support staff – total 55 Cyber crime research Research questions • • • • • • • • • • How are cyber crimes committed (e.g. credit cards, internet)? How many crimes are committed and what are the crime trends? Who commits them and why do people commit them? How much money is at stake, lost and recovered? How can such crime be reduced – by prevention or punishment? Online and desk-based reviews of books, reports and articles Legislative and case-law analysis, including sentencing research Consultations with business, government and the community Surveys of households, businesses, offenders and victims Analysis of media reporting of crime Research methods Dissemination of findings • Reports, books, articles, conference papers, roundtables, online, media Cyber crime concepts Organised Crime e.g. OMCGs Identity Crime Cyber Crime e.g. off-line crimes e.g. ID theft Internet Crime e.g. Offensive Content Phishing Financial Crime e.g. Home renovation scams A chronology of cyber crime Cloud...

Words: 1301 - Pages: 6