What is identity theft?

Identity theft (also known as identity fraud) is the misappropriation of another person's identifying information in order to:

• · obtain credit fraudulently from banks and retailers;
• · steal money from the victim's existing accounts;
• · apply for loans;
• · establish accounts with utility companies;
• · rent an apartment;
• · file for bankruptcy;
• · obtain a job; or
• · achieve other financial gain using the victim's name.

Account takeover occurs when an identity thief acquires a person's existing credit or bank account information and either withdraws money or makes purchases. Victims usually learn of account takeover when they receive their monthly credit card or bank account statement.

In true identity theft, an identity thief uses another person's Social Security number and other identifying information to fraudulently open new accounts for financial gain. Victims may be unaware of the fraud for an extended period of time, which can allow the criminal to continue the ruse for months or even years.

What identity thieves want most

Your Social Security number is the key to cloning your identity.

Your bank accounts

Reduce paper transactions

Mail and marketing lists

Trash and shredding of personal information

Your personal and business checks

Your wallet or purse

Credit, debit, and ATM cards

Credit reports and credit files

Shopping and application forms

Web sites and email

Computers and networks

Passwords and PINs