ScamSafe

3.9 Million Citigroup Customers' Data Lost

NEW YORK - CitiFinancial, the consumer finance division of Citigroup Inc., is notifying some 3.9 million U.S. customers that computer tapes containing information about their accounts - including Social Security numbers and payment histories - have been lost.

Citigroup, which is based in New York, said Monday the tapes were lost by the courier UPS Inc. in transit to a credit bureau.

More from The Desert Sun (AP)

Citibank

More Details on Identity Theft Penalty Enhancement Act

Identity Theft Penalty Enhancement Act - Amends the Federal criminal code to establish penalties for aggravated identity theft.

Prescribes sentences of two years' imprisonment for knowingly transferring, possessing, or using, without lawful authority, a means of identification of another person during and in relation to specified felony violations (including felonies relating to theft from employee benefit plans and various fraud and immigration offenses), and five years' imprisonment for knowingly taking such action during and in relation to specified felony violations pertaining to terrorist acts, in addition to the punishments provided for such felonies.

Prohibits a court from: (1) placing any person convicted of such a violation on probation; (2) reducing any sentence for the related felony to take into account the sentence imposed for such a violation; or (3) providing for concurrent terms of imprisonment for a violation of this Act and any other violation, except, in the court's discretion, an additional violation of this section.

Expands the existing identify theft prohibition to: (1) cover possession of a means of identification of another with intent to commit specified unlawful activity; (2) increase penalties for violations; and (3) include acts of domestic terrorism within the scope of a prohibition against facilitating an act of international terrorism.

More sources of information on the ITPEA:

President's remarks from Whitehouse.gov [pop up]

Declaraciones Del Presidente (en Espanol) from Whitehouse.gov [pop up]

James B. Comey Deputy Attorney General discusses the ITPEA from Whitehouse.gov [pop up]

Congressional Legislation Details (Bill # H.R.1731) from Congress.org [pop up]

New survey measures scale & impact of phishing scams

A study from the research firm Gartner Inc., released May 4th, says that 970,000 Americans have been scammed through a phishing attack--at a cost of about $1.2 billion to U.S. financial institutions.

Phishing uses emails (and Web sites) designed to look legitimate to fool people into typing in their sensitive personal information.

The Anti-Phishing Working Group reported 402 different phishing schemes in March of 2004, up 43% from February's 282. Phishing scams have exploded in the last 6-12 months. Gartner reports that 76% of attacks happened within the last six months and 92% in the last year.

According to the Gartner survey, 58% of Americans who shop or pay bills online are "very concerned" about the safety of their online information.

57 million Americans have now received a phishing email message according to Gartner. And 11 million (19%) said they followed the email's instructions to visit fake Web sites. Another 3% (1.8 million) of those who received messages said they did hand over their personal or financial data. Gartner believes that as many as a million more were duped and didn't even realize it.

For more information, see this article from Gartner.

New survey measures scale & impact of phishing scams

A study from the research firm Gartner Inc., released May 4th, says that 970,000 Americans have been scammed through a phishing attack--at a cost of about $1.2 billion to U.S. financial institutions.

Phishing uses emails (and Web sites) designed to look legitimate to fool people into typing in their sensitive personal information.

The Anti-Phishing Working Group reported 402 different phishing schemes in March of 2004, up 43% from February's 282. Phishing scams have exploded in the last 6-12 months. Gartner reports that 76% of attacks happened within the last six months and 92% in the last year.

According to the Gartner survey, 58% of Americans who shop or pay bills online are "very concerned" about the safety of their online information.

57 million Americans have now received a phishing email message according to Gartner. And 11 million (19%) said they followed the email's instructions to visit fake Web sites. Another 3% (1.8 million) of those who received messages said they did hand over their personal or financial data. Gartner believes that as many as a million more were duped and didn't even realize it.

For more information, see this article from Gartner.

Gramm-Leach-Bliley Act

This act says that financial institutions must develop and give notice of their privacy policies to their own customers at least annually, and before disclosing any consumer's personal financial information to a nonaffiliated third party, must give notice and an opportunity for that consumer to "opt out" from such disclosure.

Title V, subtitle A, of this Act, Pub. L. No. 106-102, §§ 501-510, 113 Stat. 1338, 1436-45 (Nov. 12, 1999) requires the FTC, along with the Federal banking agencies, the National Credit Union Administration, the Treasury Department, and the Securities and Exchange Commission, to issue regulations (to be codified at 16 CFR Part 313) ensuring that financial institutions protect the privacy of consumers' personal financial information.

See the text of the act here.

Gramm-Leach-Bliley Act

This act says that financial institutions must develop and give notice of their privacy policies to their own customers at least annually, and before disclosing any consumer's personal financial information to a nonaffiliated third party, must give notice and an opportunity for that consumer to "opt out" from such disclosure.

Title V, subtitle A, of this Act, Pub. L. No. 106-102, §§ 501-510, 113 Stat. 1338, 1436-45 (Nov. 12, 1999) requires the FTC, along with the Federal banking agencies, the National Credit Union Administration, the Treasury Department, and the Securities and Exchange Commission, to issue regulations (to be codified at 16 CFR Part 313) ensuring that financial institutions protect the privacy of consumers' personal financial information.

See the text of the act here.

Are there state laws on identity theft?

As of April 2004, all but two states have passed laws directly outlawing identity theft. Where specific identity theft laws do not exist, the practices may be prohibited under other laws. See the summary of state laws on the FTC web site.

Are there state laws on identity theft?

As of April 2004, all but two states have passed laws directly outlawing identity theft. Where specific identity theft laws do not exist, the practices may be prohibited under other laws. See the summary of state laws on the FTC web site.

Fair Credit Billing Act

The Fair Credit Billing Act establishes procedures for resolving billing errors on your credit card accounts. It also limits a consumer's liability for fraudulent credit card charges.

For more details, see this info on FTC web site.

The text of the law can be found here.

Fair Credit Billing Act

The Fair Credit Billing Act establishes procedures for resolving billing errors on your credit card accounts. It also limits a consumer's liability for fraudulent credit card charges.

For more details, see this info on FTC web site.

The text of the law can be found here.

Fair Credit Reporting Act

The Fair Credit Reporting Act establishes procedures for correcting mistakes on your credit record and requires that your record only be provided for legitimate business needs.

For more details, see this info on FTC web site.

The text of the law can be found here

Fair Credit Reporting Act

The Fair Credit Reporting Act establishes procedures for correcting mistakes on your credit record and requires that your record only be provided for legitimate business needs.

For more details, see this info on FTC web site.

The text of the law can be found here

Whitepaper on Liberty Protocol and Identity Theft

Liberty Alliance White Paper Outlines Federated Identity's Ability to Reduce Identity Theft

San Francisco, CA, USA. February 23, 2004. RSA Security Conference.

The Liberty Alliance announced the availability of a white paper calling out the growing problem of identity theft and detailing ways in which federated identity and Liberty's open standard can reduce online identity theft, its frequency and its potential impact on consumers. The white paper, The Liberty Alliance Protocol and Identity Theft White paper, also presents deployment recommendations for federated identity as a means to further mitigate risks.

Liberty's federated identity model, which distributes identity information across various trusted parties, is inherently more secure than a centralized model where all information is accessible in one location. If a centralized database is breached, the entire content of that database can be a goldmine for hackers and thieves. In addition to the federation safeguards, Liberty's framework also incorporates unique privacy controls and state-of-the-art security mechanisms to protect users and businesses.

Further details and deployment considerations for how federated identity and Liberty's open standard can alleviate identity theft can be found at: http://www.projectliberty.org/resources/whitepapers.

Whitepaper on Liberty Protocol and Identity Theft

Liberty Alliance White Paper Outlines Federated Identity's Ability to Reduce Identity Theft

San Francisco, CA, USA. February 23, 2004. RSA Security Conference.

The Liberty Alliance announced the availability of a white paper calling out the growing problem of identity theft and detailing ways in which federated identity and Liberty's open standard can reduce online identity theft, its frequency and its potential impact on consumers. The white paper, The Liberty Alliance Protocol and Identity Theft White paper, also presents deployment recommendations for federated identity as a means to further mitigate risks.

Liberty's federated identity model, which distributes identity information across various trusted parties, is inherently more secure than a centralized model where all information is accessible in one location. If a centralized database is breached, the entire content of that database can be a goldmine for hackers and thieves. In addition to the federation safeguards, Liberty's framework also incorporates unique privacy controls and state-of-the-art security mechanisms to protect users and businesses.

Further details and deployment considerations for how federated identity and Liberty's open standard can alleviate identity theft can be found at: http://www.projectliberty.org/resources/whitepapers.

Reports of Email Fraud and Phishing Attacks Increase By 43% in March

Over 400 Unique Phishing Attacks Submitted to www.antiphishing.org

REDWOOD CITY, Calif.--(BUSINESS WIRE)--April 20, 2004--Tumbleweed® Communications Corp. (Nasdaq:TMWD) and the Anti-Phishing Working Group today released the "Phishing Attack Trends Report" for March 2004, an analysis of phishing scam attacks submitted to www.antiphishing.org, the Internet's most comprehensive archive of email fraud and phishing attacks. This analysis identifies that email fraud and phishing attacks grew by more than 43% in March, with an average of 13 new, unique attacks sent out to millions of consumers each day. A copy of the report may be downloaded free of charge at http://www.antiphishing.org/APWG_Phishing_Attack_Report-Mar2004.pdf.

Phishing attacks use 'spoofed' emails and fraudulent websites to fool recipients into divulging personal financial data such as credit card numbers, account usernames and passwords, social security numbers, etc. By hijacking the trusted brands of well-known banks, online retailers, ISPs and credit card companies, phishers are able to convince up to 5% of recipients to respond to them. The result of these scams is that consumers suffer credit card fraud, identity theft, and financial loss.

FULL STORY from Yahoo! [pop up]

Reports of Email Fraud and Phishing Attacks Increase By 43% in March

Over 400 Unique Phishing Attacks Submitted to www.antiphishing.org

REDWOOD CITY, Calif.--(BUSINESS WIRE)--April 20, 2004--Tumbleweed® Communications Corp. (Nasdaq:TMWD) and the Anti-Phishing Working Group today released the "Phishing Attack Trends Report" for March 2004, an analysis of phishing scam attacks submitted to www.antiphishing.org, the Internet's most comprehensive archive of email fraud and phishing attacks. This analysis identifies that email fraud and phishing attacks grew by more than 43% in March, with an average of 13 new, unique attacks sent out to millions of consumers each day. A copy of the report may be downloaded free of charge at http://www.antiphishing.org/APWG_Phishing_Attack_Report-Mar2004.pdf.

Phishing attacks use 'spoofed' emails and fraudulent websites to fool recipients into divulging personal financial data such as credit card numbers, account usernames and passwords, social security numbers, etc. By hijacking the trusted brands of well-known banks, online retailers, ISPs and credit card companies, phishers are able to convince up to 5% of recipients to respond to them. The result of these scams is that consumers suffer credit card fraud, identity theft, and financial loss.

FULL STORY from Yahoo! [pop up]

Federal Identity Theft Law

Identity Theft and Assumption Deterrence Act of 1998 (Title 18 United States Code - Section 1028)

The Identity Theft and Assumption Deterrence Act of 1998 became effective October 30, 1998. It makes identity theft a Federal crime with penalties up to 15 years imprisonment and a maximum fine of $250,000. It establishes that the person whose identity was stolen is a true victim. This legislation enables the Secret Service, the Federal Bureau of Investigation, and other law enforcement agencies to combat this crime. It allows for the identity theft victim to seek restitution if there is a conviction. It also establishes the Federal Trade Commission as a central agency to act as a clearinghouse for complaints, (against credit reporting agencies and credit grantors) referrals, and resources for assistance for victims of identity theft. This statute may serve as a model for your state to enact similar legislation. It should also provide you leverage to influence law enforcement to investigate your case.

See a copy of the law on the FTC web site

Federal Identity Theft Law

Identity Theft and Assumption Deterrence Act of 1998 (Title 18 United States Code - Section 1028)

The Identity Theft and Assumption Deterrence Act of 1998 became effective October 30, 1998. It makes identity theft a Federal crime with penalties up to 15 years imprisonment and a maximum fine of $250,000. It establishes that the person whose identity was stolen is a true victim. This legislation enables the Secret Service, the Federal Bureau of Investigation, and other law enforcement agencies to combat this crime. It allows for the identity theft victim to seek restitution if there is a conviction. It also establishes the Federal Trade Commission as a central agency to act as a clearinghouse for complaints, (against credit reporting agencies and credit grantors) referrals, and resources for assistance for victims of identity theft. This statute may serve as a model for your state to enact similar legislation. It should also provide you leverage to influence law enforcement to investigate your case.

See a copy of the law on the FTC web site

California's Identity Theft Laws

It is a felony in California to use the personal identifying information of another person without the authorization of that person for any unlawful purpose including to obtain credit, goods, services, or medical information [Penal Code section 530.5 et. seq.].

California operates five regional Hi-Tech Crimes Task Forces to investigate and prosecute identity theft.

The Attorney General's Office maintains an Identity Theft Registry to assist victims who are wrongfully identified as criminals. Through the ID Theft data base, law enforcement and anyone else designated by the victim to have access would be notified that the criminal history is not his or hers. To learn more, visit the ID Theft Registry web page here, or call toll-free: (888) 880-0240.

To help protect against identity theft, California enacted a new law requiring businesses and government agencies beginning July 1, 2003, to notify consumers if hackers gain entry to computers that contain unencrypted personal information such as credit card numbers, pass codes needed for use of personal accounts, Social Security numbers or driver's license numbers.

Under the state law (AB 1386-Peace/CHAPTER 915, Stats of 2002), notices must be given immediately following discovery of the privacy breach unless a law enforcement agency determines the notice would impede a criminal investigation. The notice can be by letter or e-mail. If more than 500,000 individuals are involved or the cost of giving notice would exceed $250,000, an alternate notice may be used. The alternate notice must be by e-mail when available, conspicuous posting on the company or agency web page and notification to major statewide media. Any customer injured by a violation of the law may file civil suit to recover damages.

This information is from the web site of the Attorney General of California.

California's Identity Theft Laws

It is a felony in California to use the personal identifying information of another person without the authorization of that person for any unlawful purpose including to obtain credit, goods, services, or medical information [Penal Code section 530.5 et. seq.].

California operates five regional Hi-Tech Crimes Task Forces to investigate and prosecute identity theft.

The Attorney General's Office maintains an Identity Theft Registry to assist victims who are wrongfully identified as criminals. Through the ID Theft data base, law enforcement and anyone else designated by the victim to have access would be notified that the criminal history is not his or hers. To learn more, visit the ID Theft Registry web page here, or call toll-free: (888) 880-0240.

To help protect against identity theft, California enacted a new law requiring businesses and government agencies beginning July 1, 2003, to notify consumers if hackers gain entry to computers that contain unencrypted personal information such as credit card numbers, pass codes needed for use of personal accounts, Social Security numbers or driver's license numbers.

Under the state law (AB 1386-Peace/CHAPTER 915, Stats of 2002), notices must be given immediately following discovery of the privacy breach unless a law enforcement agency determines the notice would impede a criminal investigation. The notice can be by letter or e-mail. If more than 500,000 individuals are involved or the cost of giving notice would exceed $250,000, an alternate notice may be used. The alternate notice must be by e-mail when available, conspicuous posting on the company or agency web page and notification to major statewide media. Any customer injured by a violation of the law may file civil suit to recover damages.

This information is from the web site of the Attorney General of California.

US Dept. of Justice releases Special Report on 'Phishing'

The Department of Justice , Criminal Division, Fraud Section has released a Special Report on 'Phishing' email scams. It can be found here [pop up]

US Dept. of Justice releases Special Report on 'Phishing'

The Department of Justice , Criminal Division, Fraud Section has released a Special Report on 'Phishing' email scams. It can be found here [pop up]

More on the Fair and Accurate Credit Transactions Act

Identity theft is no small matter and continues to be the fastest growing crime in America. A recent survey revealed that 9.9 million people were victims in a single year, at a cost to businesses and financial institutions of $48 billion, plus $5 million in out-of-pocket expenses for the victims.

A new federal law nicknamed "FACT" (the Fair and Accurate Credit Transactions Act) signed last December gives consumers greater protection by addressing the problems of identity theft, privacy and the inaccuracies of the consumer credit reporting system. Here's the least you need to know about this important new law.

Not yet effective: While the law was signed Dec. 4, 2003, most of its provisions are not effective until Dec. 1, 2004.

Free credit report: Every American will be entitled to one free credit report per year from the big three credit bureaus: Experian, EquiFax and Trans Union.

One call does it all: Whether your credit or debit card is lost or stolen, one call to a consumer reporting agency will notify all agencies and credit card companies.

Padlock your file: You will have the option to place a lock on your credit file. Before any credit is granted in your name, the bureau must verify through a phone call that it's you (and not an imposter) applying for credit.

Report the incident: If anyone other than you attempts to get credit in your name, the bank or institution will be required to provide you with copies of the evidence within 30 days of the event.

Truncate credit numbers: While many merchants and bankers already print only the last five digits of your account on electronic receipts, now it's the law. However, merchants have until Dec. 4, 2006, to phase out electronic equipment that does not comply.

Disclose the bad news: Thanks to this new law, a creditor will have to tell you if it reports any negative information about you to the credit bureaus. You will be able to dispute negative information directly to your creditors rather than going through the credit bureau.

Fair treatment: A bank will have to tell you if it grants you credit at less favorable terms than those received by most other consumers and why.

Run up the red flags: Regulators will be required to devise a list of "red flag" indicators to identify patterns, practices and specific forms of activity that indicate the possible existence of identity theft that could be threatening a consumer's credit file.

It's too soon to assess whether FACT has enough muscle to bring down identity theft. While I'm hopeful it will help, don't assume anything. Our best protection against identity theft continues to be our willingness to remain completely aware and reasonably suspicious

FULL STORY from Twin Cities [pop up]

More on the Fair and Accurate Credit Transactions Act

Identity theft is no small matter and continues to be the fastest growing crime in America. A recent survey revealed that 9.9 million people were victims in a single year, at a cost to businesses and financial institutions of $48 billion, plus $5 million in out-of-pocket expenses for the victims.

A new federal law nicknamed "FACT" (the Fair and Accurate Credit Transactions Act) signed last December gives consumers greater protection by addressing the problems of identity theft, privacy and the inaccuracies of the consumer credit reporting system. Here's the least you need to know about this important new law.

Not yet effective: While the law was signed Dec. 4, 2003, most of its provisions are not effective until Dec. 1, 2004.

Free credit report: Every American will be entitled to one free credit report per year from the big three credit bureaus: Experian, EquiFax and Trans Union.

One call does it all: Whether your credit or debit card is lost or stolen, one call to a consumer reporting agency will notify all agencies and credit card companies.

Padlock your file: You will have the option to place a lock on your credit file. Before any credit is granted in your name, the bureau must verify through a phone call that it's you (and not an imposter) applying for credit.

Report the incident: If anyone other than you attempts to get credit in your name, the bank or institution will be required to provide you with copies of the evidence within 30 days of the event.

Truncate credit numbers: While many merchants and bankers already print only the last five digits of your account on electronic receipts, now it's the law. However, merchants have until Dec. 4, 2006, to phase out electronic equipment that does not comply.

Disclose the bad news: Thanks to this new law, a creditor will have to tell you if it reports any negative information about you to the credit bureaus. You will be able to dispute negative information directly to your creditors rather than going through the credit bureau.

Fair treatment: A bank will have to tell you if it grants you credit at less favorable terms than those received by most other consumers and why.

Run up the red flags: Regulators will be required to devise a list of "red flag" indicators to identify patterns, practices and specific forms of activity that indicate the possible existence of identity theft that could be threatening a consumer's credit file.

It's too soon to assess whether FACT has enough muscle to bring down identity theft. While I'm hopeful it will help, don't assume anything. Our best protection against identity theft continues to be our willingness to remain completely aware and reasonably suspicious

FULL STORY from Twin Cities [pop up]

FTC Details Efforts to Halt Internet Scams

The Federal Trade Commission today told a Senate committee that efforts to combat fraud and deception on the Internet are critical for all consumers, including seniors, because, “Internet fraud causes significant injury to consumers and harms public confidence in the Internet as an emerging market.” Howard Beales, Director of the FTC’s Bureau of Consumer Protection told the Senate Special Committee on Aging that the Commission has brought 319 law enforcement cases involving Internet scams, including cases involving identity theft, auction fraud, investment fraud and “Nigerian scams,” and cross-border Internet fraud.

See also:
Prepared Statement of the Federal Trade Commission On Efforts to Fight Fraud on the Internet, Presented by J. Howard Beales, III, Director, Bureau of Consumer Protection, Before the Special Committee On Aging, United States Senate (March 23, 2004)

Text of the Commission Testmony [PDF 39KB]
Appendix A [PDF 45KB]

FTC Details Efforts to Halt Internet Scams

The Federal Trade Commission today told a Senate committee that efforts to combat fraud and deception on the Internet are critical for all consumers, including seniors, because, “Internet fraud causes significant injury to consumers and harms public confidence in the Internet as an emerging market.” Howard Beales, Director of the FTC’s Bureau of Consumer Protection told the Senate Special Committee on Aging that the Commission has brought 319 law enforcement cases involving Internet scams, including cases involving identity theft, auction fraud, investment fraud and “Nigerian scams,” and cross-border Internet fraud.

See also:
Prepared Statement of the Federal Trade Commission On Efforts to Fight Fraud on the Internet, Presented by J. Howard Beales, III, Director, Bureau of Consumer Protection, Before the Special Committee On Aging, United States Senate (March 23, 2004)

Text of the Commission Testmony [PDF 39KB]
Appendix A [PDF 45KB]

Prevalence of Identity Theft Problem Spurs Action in Congress [United States]

Article by John M. McIntyre, Reed Smith

Summary: This article briefly explores the scope of the identity theft problem, considers the treatment of civil claims brought by victims of identity theft under state law and the federal Fair Credit Reporting Act ("FCRA"), and examines the recent revisions to the FCRA intended to more directly address identity theft issues.

FULL STORY from Mondaq News

Prevalence of Identity Theft Problem Spurs Action in Congress [United States]

Article by John M. McIntyre, Reed Smith

Summary: This article briefly explores the scope of the identity theft problem, considers the treatment of civil claims brought by victims of identity theft under state law and the federal Fair Credit Reporting Act ("FCRA"), and examines the recent revisions to the FCRA intended to more directly address identity theft issues.

FULL STORY from Mondaq News

Fair and Accurate Credit Transactions Act of 2003

On December 4, 2003, President Bush signed into law the Fair and Accurate Credit Transactions Act of 2003, ensuring that all citizens are treated fairly when they apply for a mortgage or other form of credit.

The legislation will provide consumers, companies, consumer reporting agencies, and regulators with important new tools that expand access to credit and other financial services for all Americans, enhance the accuracy of consumers' financial information, and help fight identity theft. These reforms make permanent the uniform national standards of our credit markets, and institute new, strong consumer protections.

FULL STORY from WhiteHouse.gov

Fair and Accurate Credit Transactions Act of 2003

On December 4, 2003, President Bush signed into law the Fair and Accurate Credit Transactions Act of 2003, ensuring that all citizens are treated fairly when they apply for a mortgage or other form of credit.

The legislation will provide consumers, companies, consumer reporting agencies, and regulators with important new tools that expand access to credit and other financial services for all Americans, enhance the accuracy of consumers' financial information, and help fight identity theft. These reforms make permanent the uniform national standards of our credit markets, and institute new, strong consumer protections.

FULL STORY from WhiteHouse.gov

Quick facts: Identity theft

Nearly 10 million Americans became victims of identity theft in 2002, according to the Federal Trade Commission -- 41% more than the year before -- at a cost to the U.S. economy of $53 billion. New data from market research firm Aberdeen Group estimates the worldwide cost of identity theft losses to consumers, businesses, and government for 2003 at $221 billion; those losses are escalating at a 300 percent compound annual growth rate, and could reach $2 trillion worldwide by the end of 2005.

Quick facts: Identity theft

Nearly 10 million Americans became victims of identity theft in 2002, according to the Federal Trade Commission -- 41% more than the year before -- at a cost to the U.S. economy of $53 billion. New data from market research firm Aberdeen Group estimates the worldwide cost of identity theft losses to consumers, businesses, and government for 2003 at $221 billion; those losses are escalating at a 300 percent compound annual growth rate, and could reach $2 trillion worldwide by the end of 2005.

FTC Identity Theft Survey Report Sept 2003

In September 2003, the FTC released the Federal Trade Commission – Identity Theft Survey Report prepared by Synovate. It is a 93 page report with a tremendous amount of detail.

Excerpt:

Including all types of ID Theft, a total of 4.6 percent of survey participants indicated that they had discovered they were victims of ID Theft in the past year. This result suggests that almost 10 million Americans have discovered that they were the victim of some form of ID Theft within the last year.

[FULL REPORT, PDF 5MB]

FTC Identity Theft Survey Report Sept 2003

In September 2003, the FTC released the Federal Trade Commission – Identity Theft Survey Report prepared by Synovate. It is a 93 page report with a tremendous amount of detail.

Excerpt:

Including all types of ID Theft, a total of 4.6 percent of survey participants indicated that they had discovered they were victims of ID Theft in the past year. This result suggests that almost 10 million Americans have discovered that they were the victim of some form of ID Theft within the last year.

[FULL REPORT, PDF 5MB]

Identity Theft: The Aftermath 2003

A comprehensive study – to understand the impact of identity theft on known victims as well as recommendations for reform

Conducted by the Identity Theft Resource Center, Summer 2003

Excerpt:
"Study highlights include:

• Fraudulent charges now average more than $90,000 per name used.
• Nearly 85% of all victims find out about their identity theft case in a negative manner. Only 15% of victims find out due to a proactive action taken by a business.
• The average time spent by victims is about 600 hours, an increase of more than 247% over previous studies.
• While victims are finding out about their cases earlier, it is taking far longer now than before to eliminate negative information from credit reports.
• A large majority of respondents indicates the opening of a credit card (73%) or takeover of a card account (27%) to be among crimes committed.
• The emotional impact of identity theft has been found to parallel that of victims of violent crime.
• The responsiveness toward victims by the various entities with which they must interact continues to be lacking in sensitivity in most cases and has not improved since studies released in 2000 (Nowhere to Turn)."

[FULL ARTICLE]

Identity Theft: The Aftermath 2003

A comprehensive study – to understand the impact of identity theft on known victims as well as recommendations for reform

Conducted by the Identity Theft Resource Center, Summer 2003

Excerpt:
"Study highlights include:

• Fraudulent charges now average more than $90,000 per name used.
• Nearly 85% of all victims find out about their identity theft case in a negative manner. Only 15% of victims find out due to a proactive action taken by a business.
• The average time spent by victims is about 600 hours, an increase of more than 247% over previous studies.
• While victims are finding out about their cases earlier, it is taking far longer now than before to eliminate negative information from credit reports.
• A large majority of respondents indicates the opening of a credit card (73%) or takeover of a card account (27%) to be among crimes committed.
• The emotional impact of identity theft has been found to parallel that of victims of violent crime.
• The responsiveness toward victims by the various entities with which they must interact continues to be lacking in sensitivity in most cases and has not improved since studies released in 2000 (Nowhere to Turn)."

[FULL ARTICLE]

Fed. Reserve Bank publishes paper on Identity Theft

In December 2003, the Federal Reserve Bank of Philadelpia published a paper on the growing impact of identity theft. Written by Julia Cheney, it is based on a October 3 2003 workshop on identity theft, sponsored by the Payment Cards Center of the FRB of Philadelphia, to examine its growing impact on participants in their payments system. The workshop was led by Avivah Litan, VP and research director of financial services for Gartner Inc.

Excerpt: "As the criminal pattern of identity theft has emerged, it has raised questions regarding the impact of identity theft on business and on consumers and, importantly, led to the Federal Trade Commission Survey Report and Gartner’s independent analysis of this issue. The research findings recently released by these two organizations suggest the size of the identity theft problem is much larger than was assumed using the earlier proxy: the number of registered complaints in the FTC Consumer Sentinel complaint system. In fact, the number of identity theft complaints recorded in this system was only slightly more than 160,000 in 2002."

"In contrast, the newer FTC Survey and Gartner’s identity theft research produced numbers that are significantly higher: 3.2 million and 7.0 million, respectively. These studies cover roughly the same period: mid- 2002 to mid-2003. Litan stated that despite the scale differences represented in the FTC and Gartner data sets, both studies forcefully demonstrate the apparent past under-estimation of identity theft. Litan further noted that based on Gartner’s estimates, identity theft crimes increased 79 percent from 2002 to 2003. Importantly, Litan noted that identity theft may be an even greater problem than these studies suggest."

The paper can be found here.

Fed. Reserve Bank publishes paper on Identity Theft

In December 2003, the Federal Reserve Bank of Philadelpia published a paper on the growing impact of identity theft. Written by Julia Cheney, it is based on a October 3 2003 workshop on identity theft, sponsored by the Payment Cards Center of the FRB of Philadelphia, to examine its growing impact on participants in their payments system. The workshop was led by Avivah Litan, VP and research director of financial services for Gartner Inc.

Excerpt: "As the criminal pattern of identity theft has emerged, it has raised questions regarding the impact of identity theft on business and on consumers and, importantly, led to the Federal Trade Commission Survey Report and Gartner’s independent analysis of this issue. The research findings recently released by these two organizations suggest the size of the identity theft problem is much larger than was assumed using the earlier proxy: the number of registered complaints in the FTC Consumer Sentinel complaint system. In fact, the number of identity theft complaints recorded in this system was only slightly more than 160,000 in 2002."

"In contrast, the newer FTC Survey and Gartner’s identity theft research produced numbers that are significantly higher: 3.2 million and 7.0 million, respectively. These studies cover roughly the same period: mid- 2002 to mid-2003. Litan stated that despite the scale differences represented in the FTC and Gartner data sets, both studies forcefully demonstrate the apparent past under-estimation of identity theft. Litan further noted that based on Gartner’s estimates, identity theft crimes increased 79 percent from 2002 to 2003. Importantly, Litan noted that identity theft may be an even greater problem than these studies suggest."

The paper can be found here.