Identity Theft Presentation
IDENTITY THEFT “ The fastest growing white-collar crime in America” According to the FBI
Identity Theft Privacy & Security Training Stanley Kania , CITRMS, The Institute of Fraud Risk Management is the nation’s only professional certification program ( CITRMS ) specifically developed to train and equip professionals to understand and address Identity Theft and related fraud issues. This is the same organization that trains F.B.I
1. Identity Theft Presentation
IDENTITY THEFT “ The fastest growing white-collar crime in America” According
to the FBI
Identity Theft Privacy & Security Training Stanley Kania , CITRMS, The Institute of
Fraud Risk Management is the nation’s only professional certification program
( CITRMS ) specifically developed to train and equip professionals to understand
and address Identity Theft and related fraud issues. This is the same organization
that trains F.B.I
WHAT IS IDENTITY THEFT?
• It occurs when someone steals your personal information – e.g., credit
card or Social Security number – and uses it fraudulently
• It can cost you time and money
• It can destroy your credit and ruin your good name
Identity Theft is in the News
• Over 340 million American’s Identities have been reported lost or
stolen since Jan. 2005 . – PrivacyRights.org
• The revenue from trafficking financial data has surpassed that of
drug trafficking . – Secret Service March 2007
Identity Theft is Spiraling out of Control !
• Indifference – Lack of Feeling
• Ignorance – Lack of Knowledge
• Inability – Lack of Training or Education
• Inaction – Lack of Respect
FOUR AREAS OF NEGLECT
Drivers License Medical Financial What someone is subject to as a victim of Identity
Theft, is only limited to the imagination of the person who has their information.
Social Security Five Types of Identity Theft It’s not just about Credit Cards, it’s a
Legal Issue ! Less than 28% Criminal
Driver’s License Identity Theft
• Your driving privileges could be suspended or revoked.
• You could be arrested during a routine traffic stop for crimes you did not
commit.
• Thieves can open bank accounts , apply for credit cards and cash checks in
your name .
Our Driver’s License has become an unofficial National Identification Card !
• In November 2004 David Joe Hernandez served four years in the Air
Force. So it came as a shock when he returned home and found …
• Arrest warrant in Arizona for driving on a
• revoked license
• Responsible for 20 delinquent accounts for
• cell phone bills, credit cards, utility bill and
• hospital bills
• Linked to a string of felonies, including
• auto theft and drug charges
2. • State regulators began garnishing 60% of
• his wages to pay child support to a woman
• in Chicago he'd never heard of.
• Hernandez spent a year and a half trying to clear up the mess But things
got worse.
Driver’s License Identity Theft
Illegal Immigrants use your Social Security Number to gain employment or report
income under your name. They take the income leaving you with the tax bill.
They can file false income tax returns or even file for social security benefits
using your number. Thieves and Criminals can use your SSN to apply for credit ,
obtain a Driver’s License and much more … 10 million Social Security Numbers
are bought and sold every six weeks in the U.S. Social Security Identity Theft
Why you are at Risk
CHILDREN ARE A BETTER TARGET FOR IDENTITY THEFT THAN YOU.
Children have a clean credit history and parents rarely have reasons to check their
child’s credit report. This crime can go undetected for up to 15 years. Why your
Children are at Risk ?
• You could owe thousands of dollars for a procedure you never had.
• You could become uninsurable and be denied employment because of
conditions that you do not have (AIDS, Diabetes etc…)
There are over 52,000,000 people in the U.S. without Health Insurance . (US
Census Bureau 2007) Stolen Health Insurance Card are being sold on the black
market for $500-$600 each ! (AARP) Medical Identity Theft
Why you are at Risk
• You could be arrested for crimes you didn’t commit.
• You could be denied employment because of fraudulent criminal records
found during routine background checks.
• Security checkpoints at airports could become a nightmare for you.
• Thieves mask their criminal activity behind your identity
Criminal Identity Theft occurs when an imposter gives another person’s name and
personal information such as a driver’s license, date of birth or social security
number to a law enforcement officer during an investigation or upon arrest.
Criminal Identity Theft
Why you are at Risk
Victims of Financial Identity Theft are people who have had bank accounts wiped
out, credit histories ruined and jobs and valuable possessions taken away .
Thieves use your social security number to open new accounts and can change the
billing address leaving you with the debt. Financial Institutions advertise zero
liability for fraudulent activity on accounts if notified within 48 hours. What
happens after 48 hours ? You could be responsible for debts you didn’t create !
Financial Identity Theft
Federal Trade Commission free report: 877.IDTHEFT consumer.gov/idtheft
Financial Identity Theft Financial Identity Theft
Pg. 19
• To Take Advantage of this Law You Must
• “ send your letter so that it reaches the creditor within 60 days.
3. • If an identity thief changes the address on your account and you didn’t
receive the bill, your dispute letter still must reach the creditor within 60
days of when the creditor would have mailed the bill.”
Credit Monitoring is the best way to alert an individual of possible Financial ID
Theft. Financial Identity Theft Financial Identity Theft Financial Identity Theft
February 2004 ID Theft Victims Face Tough Bank Fights
• In 2003 , The Korinke family was sued by Homecoming Financial
Network INC. , a division of GMAC, for $75,000, plus attorney fees.
• In 2001, an imposter got hold of a line of credit, switched the address , and
the Korinkes never received the outstanding bills.
• Homecomings … claimed the Korinkes had been negligent. “The
Korinkes were slow to discover and report the identity theft … as such,
Korinke is liable for any and all sums attributed to his negligence.”
• Korinke’s attorney said “victims who don’t have the means to find a good
lawyer, may be losing out in battles with financial institutions.”
Financial Identity Theft
• FTC – 3% • Other Federal Agency – 5% • State Dept of Motor Vehicle Admin – 7%
• State AG or State Consumer Agency – 8% • Lawyer – 12% • Credit Bureau –
22% • Local Police – 26% • Credit Grantor – 43% • Did Not Contact Anyone –
38% WHERE DO VICTIM GO FOR HELP
• $500 : Credit Card Number with Pin
• $150 : Driver’s License
• $150 : Birth Certificate
• $100 : Social Security Card
• $25 : Credit Card Number With Security Code And Expiration Date
• $7 : Pay-Pal Account Log-On And Password
USA Today, October 12, 2006 Criminals covet your identity Data and have
perfected more ways to manipulate your identity than you can imagine. How
Profitable is Identity Theft ?
• The average dollar amount charged in Identity Theft: $92,893
• Average number of checks written 74.6
• The average number of credit card applications approved through Identity
Theft: 8.4
- Sept 2003, Identity Theft Resource Center interviewed 2,000 victims The Cost
to Individuals Identity Thieves don’t discriminate! A professional thief can
assume your identity in just a few hours, but it can take years for you to repair the
damage and restore your good name! Over 70% of the time you’ll need an
attorney to resolve these issues.
• 57% of victims had NEW ACCOUNTS opened in their name
• 62% had warrants issued for their arrest
• 82% found out through an adverse action
• Out of pocket cost to the average victim $1,865.27
• Victims spent an average of 157.87 hours trying to clean up the mess..
• 63% could not get their credit reports cleared
• 22% have their SSN tied to someone else’s
4. • 19% had their fraud alerts ignored
*(Identity Theft Resource Center 2007) Latest Facts About this Crime
Pictures taken with cell phone camera after waiting several minutes for someone to
respond. Identity Theft in the Workplace
Access to the computer, mail and other documents possible.
WHAT CAN YOU DO?
• DETER
• Deter identity thieves by safeguarding your information
• DETECT
• Detect suspicious activity by routinely monitoring your financial
• accounts and billing statements
• DEFEND
• Defend against identity theft as soon as you suspect a problem
DETER identity thieves by safeguarding your information .
• Shred financial documents before discarding them
• Protect your Social Security number
• Don’t give out personal information unless you’re sure who
• you’re dealing with
• Don’t use obvious passwords
• Keep your information secure
DETECT suspicious activity by routinely monitoring your financial accounts and
billing statements.
• Be alert
• Mail or bills that don’t arrive
• Denials of credit for no reason
• Inspect your credit report
• Law entitles you to one free report a year from each nationwide
• credit reporting agencies if you ask for it
• Online: www.AnnualCreditReport.com ; by phone:
1-877-322-8228;
• or by mail: Annual Credit Report Request Service, P.O. Box
105281,
• Atlanta, GA 30348-5281.
• Inspect your financial statements
• Look for charges you didn’t make
DEFEND against identity theft as soon as you suspect a problem.
• Place a “Fraud Alert” on your credit reports by calling any one of the
• three nationwide credit reporting companies:
• Equifax: 1-800-525-6285
• Experian: 1-888-397-3742
• TransUnion: 1-800-680-7289
• Review reports carefully, looking for fraudulent activity
• Close accounts that have been tampered with or opened fraudulently
• File a police report