What Is Identity Theft?
A common subject reported on in newspapers and on television, many have become quite aware of the cruel inconvenience of identity theft. However, a true understanding of the situation often does not come until an individual is in the midst of being a victim. In general, identity theft is a crime perpetrated by using sensitive information to gain money, benefits, goods or a combination thereof. It has wreaked havoc on a number of industries, including banks and other lending institutions as well as government agencies, real estate, retail and other types of commerce. Law enforcement agencies, from local levels on up to federal bureaus, are often overwhelmed with the number of claims that pour in on a daily basis.
Unbeknownst to many, identity theft has a long history; however, the advent of the internet has allowed the crime to mushroom thanks to the new way thieves can package old moves. Whereas telephones, bogus prize letters and dumpster diving used to be the modes of choice for identity thieves, the internet has taken things much further. Identity thieves with sophisticated computer skills can now reach millions in the push of a button. The lightning speed of the internet allows fraudsters to move at lightning speed as well, gathering all the necessary information and striking many times before anyone ever discovers their damage.
Though many are aware of the theft of an individual’s identity, a business can fall victim to identity theft as well. When an individual’s identity is assumed, it can be used for financial gain, to conceal a true identity or it can be used as an alias to escape consequences after being apprehended for a crime.
Businesses often have their sensitive information stolen for the purpose of using their credit for financial gain or to front illegal operations. With the issues of immigration and terrorism at large, identity theft has gotten special attention for the theft of both business and personal information. It has given way to many companies and services that now offer ways to monitor credit reports for suspicious activity.
Those who discover they have been victims of identity theft often only do so once they apply for a loan and are denied funding; or when calls from creditors begin and unrecognized bills start showing up. This type of situation serves to be very alarming for an individual or business as it can be a fairly difficult and lengthy process to get things back in good standing. In all reality, it is not uncommon for the process to take years in some cases. In the meanwhile, victims must suffer the inability to obtain loans when needed due to bad credit that is no fault of their own.
Luckily, many institutions are beginning to recognize and develop ways to help victims get back on their feet quicker. Though the number of claims can often clog the system, victims feel less betrayed and left out in the cold knowing there is something that can be done, even if the process is a slow one.
