How Identity Theft Occurs
Skilled identity thieves use a variety of ways
to gain access to your personal information.
For example, they may get information from
businesses or other institutions by stealing
it while they’re on the job; bribing an employee
who has access to these records; hacking these
records; and conning information out of
employees.
Other ways identity thieves may obtain your information include:
- they may steal your wallet or purse.
- they may steal your personal information
through email or the phone by saying
they’re from a legitimate company and
claiming that you have a problem with your
account. This practice is known as “phishing”
online, or “pretexting” by phone.
- they may steal your credit or debit card
numbers by capturing the information in
a data storage device in a practice known
as “skimming.” They may swipe your card
for an actual purchase, or attach a device
to an ATM machine where they may enter
or swipe your card.
- they may get your credit reports by abusing
the authorized access that was granted to
their employer, or by posing as a landlord,
employer, or someone else who may have
a legal right to your report.
- they may rummage through your trash, the
trash of businesses, or public trash dumps in
a practice known as “dumpster diving.”
- they may steal personal information they
find in your home.
- they may steal
your mail, including
bank and credit
card statements,
credit card offers,
new checks, and
tax information.
- they may complete
a “change of address form” to divert your
mail to another location.
Once identity thieves have your personal
information, they may use it to commit a wide variety of fraud
and/or theft including:
- they may call your credit card issuer to
change the billing address on your account.
The imposter then runs up charges on your
account. Because the bills are being sent
to a different address, it may be some time
before you realize there’s a problem.
- they may open new credit card accounts in
your name. When they use the credit cards
and don’t pay the bills, the delinquent
accounts are reported on your credit report.
- they may establish phone or wireless
service in your name.
- they may open a bank account in your name
and write bad checks on the account.
- they may counterfeit checks or credit or
debit cards, or authorize electronic transfers
in your name, and drain your bank account.
- they may file for bankruptcy under your
name to avoid paying debts they’ve incurred
under your name, or to avoid eviction.
- they may buy a car by taking out an auto
loan in your name.
- they may get identification such as a driver’s
license issued with their picture, in your name.
- they may get a job or file fraudulent tax
returns in your name.
- they may give your name to the police
during an arrest. If they don’t show up
for the court date, a warrant for arrest
is issued in your name.
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