What is ID Fraud?
Now computers have made it very easy for identity thieves to wreak an enormous amount of disastrous effects in a very short period of time. With today’s new technology, you can be in a lot of trouble in just a matter of days, and sometimes the trouble begins in just 1-2 hours. Understanding what information the criminal needs; how they can obtain it; and what they do with it will help you protect yourself and your family members from identity fraud.
Financial identity fraud is the most common type of problem that is now being encountered. This is a practice that is proving to be extremely lucrative for criminals. There are also four other major types of identity fraud.
- business/commercial
- criminal
- identity cloning
- medical
Business/commercial identity fraud is on the same par as financial ID theft. The only difference is that the criminals are stealing business information as opposed to the personal financial identification of an individual.
Criminal theft of an identity occurs when someone who is being arrested willingly gives the legal authorities ID information that belongs to someone else. This can result in charges being filed under an innocent person’s name. if the perpetrator is released and then doesn’t show up in court, a warrant can be signed against the wrong person. This can create serious problems before the matter is straightened out.
Identity cloning is the term used when someone is using the identity of another person on a daily basis. while this may not be technically considered ID theft, it can still result in a myriad of problems. Your reputation and good name can also be tarnished, through no fault of your own.
Medical identity fraud takes place if a person uses someone else’s name to obtain medical treatment. This can happen with a hospital or at a doctor’s office and it can affect you financially. It can also create many inaccuracies with your own personal medical records.
Financial identity fraud is what happens when someone uses the personal information of another person to transact business. This could range from obtaining new credit cards to siphoning money from bank accounts. these practices have created headaches and credit related nightmares for people in every country. even when you realize what is taking place it can take months, or years, to sort through the tangled red tape and clear both your name and credit history.
You should really take steps to make sure you don’t get caught, and that can be a simple as using a paper shredder to destroy sensitive documents before they get into the hands of the bad guys.
