Identity fraud
Simple steps to protect your identity
Identity fraud or identity theft as it is often referred to, involves the use of an individual or company’s identity information to open bank accounts, obtain payments or credit, obtain social security benefits or obtain goods and services fraudulently.
Identity fraud remains a comparatively rare type of crime, although figures suggest that it is on the increase. CIFAS, the UK’s fraud prevention service reported that in 2003, the number of identity fraud cases in the UK stood at approximately 101,000 - an increase of around 30,000 from the previous year.
It is estimated that identity fraud costs the British economy almost £1.5 billion a year with the cost to victims exceeding £60 million.
Identity fraudsters operate by gathering as much personal information about an individual as possible and then use this information to build up a false identity that can then be used for fraudulent purposes.
This information can be gained by a variety of methods including the theft of insecure personal documents, interception of mail, bin-raiding - where fraudsters go through rubbish bins looking for discarding information, card-skimming, spoof correspondence and spoof websites and emails.
All of these methods involve attempts by fraudsters to gain access to personal details. Once they have enough information, fraudsters can then begin their fraudulent activity using the stolen identity - this can typically include applying for credit cards, loans or finance; the purchase of goods on the Internet or by mail order and taking control of victims existing accounts.
Reducing the risk of becoming a victim
There are a number of precautions people can take to greatly reduce the risk of becoming a victim of identity fraud. The best way of guarding against your identity being stolen is to treat any personal data as you would other valuable property – safe and secure - don’t give it away easily.
Think about all the different documents that contain your name, address or other personal details. Bank statements, utility bills, pre-filled application forms, old chequebooks, debit or credit card transaction receipts even envelopes or headed paper showing your address are all of potential use to a fraudster. Ensure you destroy documents such as these before you discard them – consider investing in a document shredder.
When you receive your bank and credit card statements, check them immediately. Report any transactions you don’t recognise, however small, to the card issuer.
Be careful when disclosing your personal details. If you receive letters or emails always check they are genuine. If you are unsure about the identity of the sender, never reply directly to e-mails (by clicking on the reply button) or click on links to websites that may be included within the email.
Identity theft can occur by the use of faked e-mails, that may look genuine, and corresponding “spoofed” web sites. Banks, utility companies, Internet Service Providers, credit card companies and other such organisations will never:
- Ask you to provide personal details, user names, passwords or personal identification numbers (PIN) by e-mail.
- Ask you to provide such data by visiting their web site by way of a link within an e-mail.
Always visit websites through the standard web address provided by the organisation and always ensure you type the address correctly into your computer. Keep your computer up to date; use a firewall and the latest virus checking software.
Keep your passport, driving licence, birth certificate and other important documents in a safe place and inform the relevant bodies immediately if they go astray. Inform the police if you suspect they have been stolen.
Treat debit, credit and store cards as if they were cash and sign any new cards as soon as you receive them. Make a list of all your cards, along with account details, and keep it up to do. You will be able to quickly notify card issuers in the event that cards are lost or stolen.
What to do if you suspect you are a victim of identity theft
Whilst it may not be immediately obvious that you have become the victim of identity theft, there are a number of indicators that may suggest that your identity is at risk.
These include:
- Your bank statements show transactions you don’t recognise.
- You receive bills, invoices or receipts addressed to you that refer to goods or services you have no knowledge of.
- You receive confirmation letters or statements for accounts in your name that you haven’t opened.
- Important identity documents, such as your passport, driving licence or bank statements have gone missing or have been stolen.
- You may have CCJs (County Court Judgements) registered against you.
The important thing is not to panic. There is help and advice available and it is unlikely that you have been targeted personally. Acting quickly if you find yourself a victim of identity fraud - contact your local policing unit and report the identity theft as a crime. You will be given a crime reference number that you can provide to any organisations concerned.
You can find out more detailed information about identity fraud by visiting www.identityfraud.org.uk or the website of CIFAS - The UK’s Fraud Prevention Service.
People who find themselves the victim of information theft that is likely to result in identity fraud can take advantage of CIFAS’s ‘Protective Registration Scheme’. This facility enables victims to ‘flag’ their credit reference files to reflect the fact that their identity might be subject to impersonation by fraudsters. More information can be found on the CIFAS website.
Anyone with any information about crime affecting Leicester, Leicestershire and Rutland should contact your local policing unit on (0116) 222 2222 or Crimestoppers, which is free* and anonymous, on 0800 555 111.
* Please note, some mobile 'phone networks may charge for this call.
