Sponsor Robert Siciliano as he runs the Boston Marathon for Miles for Miracles, Children's Hospital Boston
ROBERT SICILIANO, CEO of www.IDTheftSecurity.com is fiercely committed to informing, educating, and empowering Americans so they can be protected from violence and crime in the physical and virtual worlds.

FREE EBOOK

Check here if you're human

Sponsors

Advisory Boards

Identity Theft on the Rise…Again

1
Pin It

CaptureAccording to a report released by Javelin Strategy and Research and another by the FTC, the incidence of identity fraud increased in 2012 for the second consecutive year, affecting 5.26 percent of U.S. adults. This increase was driven by dramatic jumps in the two most severe fraud types, new account fraud (NAF) and account takeover fraud (ATF).

Key findings from the FTC’s report:

  • Over one million complaints were fraud-related. Consumers reported paying over $1.4 billion in those fraud complaints; the median amount paid was $535.
  • Fifty-seven percent of all fraud-related complaints reported the method of initial contact. Of those complaints, 38 percent said e-mail, while another 34 percent said the telephone. Only 9 percent of those consumers reported mail as the initial point of contact.

Key findings from Javelin’s report:

  • Identity fraud incidents and amounts stolen have increased. The number of identity fraud incidents increased by one million more consumers over the past year, and the dollar amount stolen increased to $21 billion—a three-year high, but still significantly lower than the all-time high of $47 billion in 2004. This equates to one incident of identity fraud every three seconds.
  • One in four recipients of a data breach notification became a victim of identity fraud. This year, almost 25 percent of consumers that received a data breach letter became a victim of identity fraud, which is the highest rate since 2010. The study found consumers who had their Social Security number compromised in a data breach were five times more likely to be a fraud victim than an average consumer.
  • Small retailers are losing out. Fraud victims are more selective where they shop after an incident, and small businesses were the most dramatically impacted. The study found that 15 percent of all fraud victims decided to change behaviors and avoid smaller online merchants. This is a much greater percentage than those that avoid gaming sites or larger retailers.

With iovation’s services, when computers or mobile devices with fraudulent histories connect to a retailer’s website, the business is alerted in real time. If velocity or geolocation alerts are triggered, the retailer knows that too, also in real time. The company maintains a living database of device intelligence, sharings the data across its global base of finance, gaming, travel, shipping, dating, and retail clients. Information is shared in order to detect fraudulent activity as soon as possible—before a product is shipped and chargebacks and fees are incurred. iovation calls it device reputation; I call it another bit of common sense for retailers.

Robert is a personal security and identity theft expert contributor to iovation. He is the author of 99 Things You Wish You Knew Before Your Mobile was Hacked!  Disclosures.

About the Author
ROBERT SICILIANO, CEO of IDTheftSecurity.com is fiercely committed to informing, educating, and empowering Americans so they can be protected from violence and crime in the physical and virtual worlds. His "tell it like it is" style is sought after by major media outlets, executives in the C-Suite of leading corporations, meeting planners, and community leaders to get the straight talk they need to stay safe in a world in which physical and virtual crime is commonplace. Siciliano is accessible, real, professional, and ready to weigh in and comment at a moment's notice on breaking news.

Similar Posts

  • What Are the Latest Identity Theft Statistics?
    The 2012 Identity Fraud Report: Social Media and Mobile Forming the New Fraud Frontier, released by Javelin Strategy & Research, reports that in 2011 identity fraud increased by 13 percent. More than 11.6 million adults became a victim of identity fraud in the United States, while the dollar amount stolen held steady. Approximately 1.4 million more
  • How safe is my identity? What are the latest threats? How do I protect myself?
    The 2012 Identity Fraud Report: Social Media and Mobile Forming the New Fraud Frontier, released by Javelin Strategy & Research reports that in 2011 identity fraud increased by 13 percent. More than 11.6 million adults became a victim of identity fraud in the United States, while the dollar amount stolen held steady. Identity theft occurs when someone
  • Credit Card Theft increasing for Banks and Retailers
    2013 was the year of 740 million records involving data breaches. And that number may be erring quite on the conservative side, according to the Online Trust Alliance. The records come from a list on the Privacy Rights Clearinghouse Chronology Data Base. The list is that of publically disclosed breaches, including the alleged 110 million that struck
  • Identity Theft Tops 2011 Consumer Complaints
    The Federal Trade Commission today released its list of top consumer complaints received by the agency in 2011. For the 12th year in a row, identity theft complaints topped the list. Of more than 1.8 million complaints filed in 2011, 279,156 or 15 percent, were identity theft complaints. Nearly 25 percent of the identity theft complaints related
  • Business Data Breaches Key in Rise of ID Theft
    The 2012 Identity Fraud Report: Social Media and Mobile Forming the New Fraud Frontier report released by Javelin Strategy & Research Data Breaches increasing and more damaging – “One likely contributing factor to the fraud increase was the 67 percent increase in the number of Americans impacted by data breaches compared to 2010. Javelin Strategy

One Response to “Identity Theft on the Rise…Again”

[...] According to a report released by Javelin Strategy and Research and another by the FTC, the incidence of identity fraud increased in 2012 for the second consecutive year, affecting 5.26 percent of U.S. adults. This increase was driven by dramatic jumps in the two most severe fraud types, new account fraud (NAF) and account takeover fraud (ATF). http://robertsiciliano.com/blog/2013/03/21/identity-theft-on-the-riseagain/ [...]

Leave a Comment

You must be logged in to post a comment.

Xtreme School

Featured in

Anderson Cooper John Stossel Robert Siciliano Featured in
Browse by Month

Browse by Category