Identity Theft Law Gets Tougher
Identity theft is on the rise and the laws that protect consumers are also becoming increasingly tougher and with few loop holes, plus consumes are receiving more protection too.
With 27.3 million Americans suffering from identity theft in the last 5 years and with just under 10 million last year alone, you can quickly see why identity theft laws needed to get tougher. . The FBI dedicates a great deal of resources to identity theft, but if we’re being honest many times nabbing these criminals is difficult and the laws didn’t always have the teeth that were needed to make these id theft charges stick.
As the criminal code for ID theft in all of the states becomes better defined and tougher it is hoped more of these identity thieves will find themselves behind bars. In the past the FBI have worked hard to put these thugs away but often they would only receive a slap on the wrist. Their hard work may be better rewarded with tougher laws.
While the FBI take care of the criminal element, the FTC looks to protect consumers. There are a several laws that limit the amount of money the consumer can be on the hook for, if their identity is stolen. This does vary from state to state. Statistics show that criminals that fraudulently open new accounts had the highest dollar loss to both victims and business.
Certain states have implemented extra laws to protect residents of that state. For example, Alabama, California, Colorado, Idaho, Washington, and Rhode Island all now have a Credit Information Blocking law. California has implemented a Fraud Alerts law. Rhode Island has a law that protects consumers from having to disclose their social security numbers.
Other states have laws the allow a consumer to freeze their credit. This means they can restrict access to credit reporting and that they must lift that freeze if they wish for potential creditors or third parties to access their accounts. The laws are different among each state as is the cost of placing and removing the freeze. It’s just another helpful tool in the war against identity theft.
Federal Laws in all the states include the Fair Credit Reporting Act, Fair Credit Billing Act, Fair Debt Collection Practices Act, and the Electronic Fund Transfer Act all designed to protect the consumer. All states also have criminal laws including the Identity Theft and Assumption Deterrence Act and the Identity Theft Penalty Enhancement Act.
The law says “Anyone who knowingly transfers or uses, without lawful authority, a means of identification of another person with the intent to commit, or to aid or abet, any unlawful activity that constitutes a violation of Federal law, or that constitutes a felony under any applicable State or local law.”
Identity theft disrupts and even destroys lives. The devastation is real, and those that choose to partake in this crime deserve to do the jail time.
