Creative Commons License


« Previous post | Home | Next post »

Children 51 times more likely to be ID theft victim

Why are kids so vulnerable? Because they have unused, unblemished credit profiles. Richard Power, Distinguished Fellow, Carnegie Mellon CyLab, recently published the first ever child identity theft report based on identity protection scans of over 40,000 U.S. children. It is extremely alarming that 10.2% of the children in the report had someone else using their Social Security numbers. That figure is 51 times higher than the rate for adults of the same population.

Most people can't imagine a child's identity would be valuable. That comes from a lack of understanding of how the credit system works in the US.

Because children have untouched and unblemished credit records, they are highly attractive targets. More importantly, their credit reports are usually never looked at for years and years, so the thief can get away with the crime for longer. Child identity theft is profitable, hard to detect and a nightmare to recover. Thieves steal a child’s identity early on, nurture it until they have a solid credit score, and then abuse and discard it. If it’s not discovered in time, fraudulent use of your child’s identity could mean the loss of educational and job opportunities and starting off adulthood at a serious disadvantage with someone else’s bad credit in her name. All an identity thief needs to ruin your child’s bright financial future is her name and Social Security Number.

Category: Consumer Tips, Identity Theft News
Posted on March 27, 2012 at 09:27 AM | Permalink