FRAUD WARNING: Identity theft surges to 'epidemic' levels - shock study finds
IDENTITY theft has surged to “epidemic” levels with nearly 500 frauds reported each day, a new study reveals.
Identity theft surges to 'epidemic' levels - shock study finds
Criminals are making fortunes by using victims’s personal details to apply for loans, buy goods online and other scams.
The cost of identity fraud in 2016 was estimated at £5.4 billion.
Now research by fraud prevention body Cifas reveals that there were 89,201 ID frauds registered in the UK from January to June this year.
The cost of identity fraud in 2016 was estimated at £5.4 billion
We have seen identity fraud attempts increase year on year, now reaching epidemic levels
The figure is five per cent up on the same period in 2016 with the vast majority of crimes committed via the internet.
Cifas says criminals are “relentlessly” targeting consumers and businesses and called for more to be done to protect personal data.
Fraudsters get hold of data such as names, dates of birth and addresses through a variety of routes including stolen mail, hacking or using information victims post on social media.
Another tactic is so-called “social engineering” fraud where crooks pose as bank staff, well-known retailers or even police officers to obtain victims’s personal details.
Criminals are making fortunes by using victims’s personal details
Simon Dukes, Cifas chief executive, said: “We have seen identity fraud attempts increase year on year, now reaching epidemic levels.
“These frauds are taking place almost exclusively online.
“The vast amounts of personal data that is available either online or through data breaches is only making it easier for the fraudster.
“Criminals are relentlessly targeting consumers and businesses and we must all be alert to the threat and do more to protect personal information.
“For smaller and medium-sized businesses in particular, they must focus on educating staff on good cyber security behaviours and raise awareness of the social engineering techniques employed by fraudsters.
Preventing online identity fraud with Onfido
“Relying solely on new fraud prevention technology is not enough.”
Cifas says the latest figures show there has been a sharp rise in ID fraudsters applying for loans, online retail, telecoms and insurance products.
Although the number of attempts against bank accounts and plastic cards has fallen, these still make up more than half of all cases.
In the majority of scams, fraudsters assume a victims’s identity to buy a product or take out a loan in their name.
People often do not even realise that they have been targeted until a bill arrives for items they did not buy or they have problems with their credit rating.