How Do Thieves Use Stolen Personal Information

Identity theft is a growing problem worldwide, and thieves can use even the most basic information about you to carry out a number of fraudulent crimes which can range from one off credit theft felonies through to serious organized criminal activities such as drug smuggling and human trafficking.  It is more important than ever that you take steps to protect and restrict your personal information and safeguard it from unscrupulous individuals.

Credit Fraud

In reality you do not actually have to provide a great deal of personal information when applying for a new credit account. For example when you apply for a new credit card all you will need is your full name, address, date of birth, telephone number and Social Security Number.  You will also need to provide basic details about your address history and employment (such as salary, work telephone number and years of service) and you may also be asked if you have any other accounts with the company.  It is surprisingly easy for identity thieves to find out this information about individuals, which they can do by intercepting existing mail, stealing old bank statements and phone bills from rubbish bins and even by stealing people’s wallets and purses, so you can see how easy it would be for them to ‘borrow’ your details to set up new credit cards in your name without your knowledge (especially as they can apply online and by post and do not need to appear in person).

Physical Theft

Identity thieves can carry out fraudulent crimes simply by stealing your wallet, and a common tactic is to ‘shoulder surf’ when you are inputting your PIN number at a checkout or cash machine, and then steal your wallet/purse to gain access to your cards so that they can then empty your account.  It is important as soon as you know you cards have been stolen to phone your credit card company immediately and cancel them, and this will help to prevent too much damage to your account.  Thieves can also steal important identity documents from you such as passports, birth certificates and drivers licenses.

Jackal Fraud

Unfortunately it is becoming increasingly common for thieves to steal personal information of deceased persons, which they can then use to run a number of fraudulent activities almost undetected.  It is very important if you are responsible for sorting out a deceased person’s estate that you let all of the relevant agencies and authorities know that the person has passed away, and you should contact all of their bank and credit card providers, utility companies (including telephone and Internet), cell phone providers, and any other interest parties.

You should also report this to the consumer credit agencies (Equifax, Experian and TransUnion) who will then freeze the relevant credit file and ensure that no one can apply for credit fraudulently in their name in the future.