Business / Identity Theift

Identity Theift

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Autor:  anton  17 November 2010
Tags:  Identity,  Theift
Words: 1674   |   Pages: 7
Views: 380

Identity theft is a term used to refer to 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. Unlike your fingerprints, which are unique to you and cannot be given to someone else for their use, your personal data ¬ especially your Social Security number, your bank account or credit card number, your telephone calling card number, and other valuable identifying data ¬ can be used, if they fall into the wrong hands, to personally profit at your expense (Weisman).

Over the last few years, the number of reported cases of identity theft has skyrocketed, from 86,000 reported cases in 2001 to over 10,000,000 in 2005 (Weisman). It is by far the fastest growing crime in the United States. Perhaps what is even scarier than the crime itself is the ease with which the crime can be pulled off. Many people do not realize how easily criminals can obtain our personal data without having to break into our homes. In public places, for example, criminals may engage in "shoulder surfing" ¬ watching you from a nearby location as you punch in your telephone calling card number or credit card number ¬ or listen in on your conversation if you give your credit-card number over the telephone to a hotel or rental car company (Delaney). Even the area near your home or office may not be secure. Some criminals engage in "dumpster diving" ¬ going through your garbage cans or a communal dumpster or trash bin to obtain copies of your checks, credit card or bank statements, or other records that typically bear your name, address, and even your telephone number (Borrus). These types of records make it easier for criminals to get control over accounts in your name and assume your identity.

If you receive applications for “pre-approved” credit cards in the mail, but discard them without tearing up the enclosed materials, criminals may retrieve them and try to activate the cards for their use without your knowledge. (Some credit card companies, when sending credit cards, have adopted security measures that allow a card recipient to activate the card only from his or her home telephone number but this is not yet a universal practice (Weisman).) Also, if your mail is delivered to a place where others have ready access to it, criminals may simply intercept and redirect your mail to another location.

In recent years, the Internet has become an appealing place for criminals to obtain identifying data, such as passwords or even banking information (Borrus). In their haste to explore the exciting features of the Internet, many people respond to "spam" ¬ unsolicited E-mail ¬ that promises them some benefit but requests identifying data, without realizing that in many cases, the requester has no intention of keeping his promise. In some cases, criminals reportedly have used computer technology to obtain large amounts of personal data. With enough identifying information about an individual, a criminal can take over that individual's identity to conduct a wide range of crimes: for example, false applications for loans and credit cards, fraudulent withdrawals from bank accounts, fraudulent use of telephone calling cards, or obtaining other goods or privileges which the criminal might be denied if he were to use his real name. If the criminal takes steps to ensure that bills for the falsely obtained credit cards, or bank statements showing the unauthorized withdrawals, are sent to an address other than the victim's, the victim may not become aware of what is happing until the criminal has already inflicted substantial damage on the victim's assets, credit, and reputation (Gattiker).

Experts have suggested many different ways to reduce the risk of being a victim of identity theft. Many of these suggestions are extremely easy and worth the trouble. At home start by adopting a "need to know" approach to your personal data (Weisman). Your credit card company may need to know your mother's maiden name, so that it can verify your identity when you call to inquire about your account. A person who calls you and says he's from your bank, however, doesn't need to know that information if it's already on file with your bank; the only purpose of such a call is to acquire that information for that person's personal benefit. Also, the more information that you have printed on your personal bank checks such as your Social Security number or home telephone number the more personal data you are routinely handing out to people who may not need that information (Levy&Stone). If someone you don't know calls you on the telephone and offers you the chance to receive a "major" credit card, a prize, or other valuable item, but asks you for personal data such as your Social Security number, credit card number or expiration date, or mother's maiden name ask them to send you a written application form. If they won't do it, tell them you're not interested and hang up. If they will, review the application carefully when you receive it and make sure it's going to a company or financial institution that's well-known and reputable (Delaney). The Better Business Bureau can give you information about businesses that have been the subject of complaints. Another way to prevent possible identity theft is to always be on the look out for people that may be eavesdropping on conversations or watching what is being written down. This prevents the "shoulder surfing" technique. The next tip is to never respond to suspicious E-mails or phone solicitors (Delaney). This is especially true of E-mails and solicitations that request identifying information.

Although identity theft crimes and be around your home town and area did you ever think about when you go on vocation? Experts also suggest many different ways to reduce the risk of being a victim when away from home. If you're traveling, have your mail held at your local post office, or ask someone you know well and trust ¬ another family member, a friend, or a neighbor ¬ to collect and hold your mail while you're away (Fisher). If you have to telephone someone while you're traveling, and need to pass on personal financial information to the person you're calling, don't do it at an open telephone booth where passersby can listen in on what you're saying; use a telephone booth where you can close the door, or wait until you're at a less public location to call (Fisher).

Would you know what to do if you become a victim of identity theft? Under the Identity Theft and Assumption Deterrence Act , the Federal Trade Commission is responsible for receiving and processing complaints from people who believe they may be victims of identity theft, providing informational materials to those people, and referring those complaints to appropriate entities, including the major credit reporting agencies and law enforcement agencies. For further information, you can check the FTC's identity theft Web pages (Weisman). You can also call your local office of the FBI or the U.S. Secret Service to report crimes relating to identity theft and fraud.

The Department of Justice prosecutes cases of identity theft and fraud under a variety of federal statutes. In the fall of 1998, for example, Congress passed the Identity Theft and Assumption Deterrence Act (Corel). This legislation created a new offense of identity theft, which prohibits knowingly transferring or using 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. Schemes to commit identity theft or fraud may also involve violations of other statutes such as identification fraud (18 U.S.C. § 1028), credit card fraud (18 U.S.C. § 1029), computer fraud (18 U.S.C. § 1030), mail fraud (18 U.S.C. § 1341), wire fraud (18 U.S.C. § 1343), or financial institution fraud (18 U.S.C. § 1344) (Corel). Each of these federal offenses are felonies that carry substantial penalties ¬ in some cases, as high as 30 years' imprisonment, fines, and criminal forfeiture (Weisman). Federal prosecutors work with federal investigative agencies such as the Federal Bureau of Investigation, the United States Secret Service, and the United States Postal Inspection Service to prosecute identity theft and fraud cases. This is good for the person who just lost all their life’s work, goals and “good” credit to a worthless criminal.

Identity theft was clearly identified as a serious crime 8 years ago when the Identity Theft and Assumption Deterrence Act was passed. Since that time great strides have been made to combat the problem, but much work remains to be done. Law enforcement agencies at all levels, federal and non-federal, must work together to develop strategies for the investigation and prosecution of offenders. At the same time, the law enforcement community must work closely with private industry to develop effective education and prevention programs. The crime of the new millennium will not fade away soon, nor will passive efforts soften the devastating impact upon its victims. Yet with hard work, cooperation, and effective communication between law enforcement and the public, identity thieves will be held accountable in this new millennium.

Works Cited

Borrus, A. (2003, March 31).To Catch an Identity Theft. Business

Week, 3826, 91.

Corel (2000, June 5). Identity Theft and Fraud. Retrieved

November 17, 2005 from Pct, U.S. Department of Justice Web site:

Delaney, K. J. (2005). Identity Theft Made Easier. Wall Street

Journal, B.1.

Fisher, A. (2005, September 5). Job offer or identity-theft scam?.

Fortune, 152, 161.

Gattiker, U. E. (2004). The Information Security Dictionary.

Norwell, MA: Kluwer Academic.

Levy, S. & Stone, B. (2005, September 5). Grand Theft Identity.

Newsweek, 38.

Weisman, S. (2005). 50 Ways to protech your identity and your

credit. Upper Saddle River, NJ: Prentice Hall.

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