| Identity theft is "an absolute epidemic," states
Robert Ellis Smith, a respected privacy author and advocate. "It's
certainly picked up in the last four or five years. It is nationwide.
It affects everybody, and there is very little you can do to prevent it
and, I think, worst of all you can't detect it until it's probably too
late."
Some law-enforcement authorities call id
theft "the fastest growing crime across the country right now". In
fact, it is the most called-about subject on the Privacy
Rights Clearinghouse's telephone hotline. "Most victims don't even know
how the perpetrators got their identity numbers," says director Beth
Givens. Such fraud may account for as much as 25% of all credit
card fraud losses each year.
For the criminal, id theft is a relatively
low-risk, high-reward endeavor. Credit card issuers often don't
prosecute thieves who are apprehended. Why? The firms figure it's not
cost efficient. They can afford to write off a certain amount of fraud
as a cost of doing business.
In some cases, the victim often has to
prove his or her innocence. This shocks most new victims. They naturally expect
the police, the credit grantors, the credit-reporting agencies
and others in high places to help them
Identity Theft is the fastest growing crime in
America, affecting approximately 900,000 new victims each year !
More than ever, the information explosion, aided by an era
of easy credit, has led to the expansion of a crime that feeds
on the inability of consumers to control who has access to
sensitive information and how it is safeguarded.
Identity theft remains the #1 concern among consumers
contacting the Federal Trade Commission.
Up to 700,000 people in the United States may be
victimized each year, according to the Justice
Department (during press release- 2002 FTC Study).
The Secret Service estimates that in 1997
consumers lost more than $745 million due to id theft.
A Florida Grand Jury estimated that the average
identity theft crime costs the business community about $17,000 per
victim. (report found under Speeches). If we use the number 700,000
victims, that means a loss of $11.9 billion in 2001.
This number does not include victim costs
including legal assistance, judicial and law enforcement time in
investigating and trying cases.
A GAO study on identity theft (GAO-02-363, issued
March 2002) discussed costs to federal agencies -- The executive office
for U.S. Attorneys estimated cost of prosecuting a white-collar crime
case was $11,443. The Secret Service estimates the average cost per
financial crime investigation is $15,000.The FBI estimates the average
cost per financial crime investigation is $20,000
On average, victims spend 175+ hours and $1,000 in
out-of-pocket expenses to clear their names. (Privacy Rights
Clearinghouse and FTC)
The average arrest rate (according to law
enforcement) is under 5% of all reported cases by victims.
The 2002 FTC Study revealed the following facts:
Top 10 locations in # of victims (in order):
Washington D.C., California, Arizona, Nevada, Texas, Florida, New York,
Washington, Maryland, Oregon
In types of crimes: credit card fraud 42%,
phone utility fraud 22%, bank fraud 17%, employment related fraud 9%,
other id fraud 32%
As you can see from the above data id theft is a growing
crime. We have gathered identity theft facts data for
those interested in finding out about id theft statistics. The
facts below clearly show that as a victim your not alone.
We are also the only website on the internet that provides
real-time id theft news.
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